The Public Accounts Committee (PAC) has directed Municipal and District Assemblies to comply with the Income Tax Act, 2015 (Act 896), which requires withholding agents to remit taxes to the Commissioner-General of the Ghana Revenue Authority (GRA) within 15 days after each calendar month.
The Auditor-General’s report revealed that several Assemblies, including Atwima Nwabiagya North District, Amansie West District, Bosome Freho District, Banda District, and Wenchi Municipal Assembly, have failed to meet this requirement.
This issue emerged during PAC’s hearings in Sunyani, where the Committee reviewed the Auditor-General’s Report on the Management and Utilisation of the District Assemblies Common Fund and other Statutory Funds for the year ending December 31, 2023.
The Committee expressed concern about the failure to remit taxes, noting that it affects the payment of salaries and allowances.
PAC has urged the Assemblies to cease these practices immediately and advised them to set realistic targets and adhere to their budgets.
They noted that some Assemblies’ Internally Generated Funds (IGF) are inadequate to support their projects, leading to delays or abandonment of so-called “legacy projects,” which in turn increases costs and negatively impacts local communities.
Additionally, PAC observed that some completed projects have not been utilized.
The Committee also called on the Free SHS Secretariat to release funds to senior high schools to ensure smooth operations, highlighting that some schools have only received GH¢9,000 since February 2024 for recurrent expenditures.
PAC condemned this situation, describing it as unacceptable.
