The Ghana Revenue Authority, GRA will soon take African Automobile Limited, AAL to court to enforce the payment of 6.1 million cedis tax on the 8.2 million Ghana cedis interest it obtained from court for supplying Mitsubishi spare parts and sourcing of vehicles for 18 state institutions from 1995 to 2010.
The Assistant Commissioner in charge of Policy and Programmes at the Domestic Tax Division of GRA, Edward Gyamerah disclosed this when he appeared before the Judgement debt commission in Accra.
He told the commission that, interest is income earned, so it is taxable.
According to him, GRA calculated the tax at 25 percent and imposed a penalty of 200 percent on AAL for failing to disclose the amount it collected from the Judgement debt.
Mr. Gyamerah said GRA will use the provision in the tax law by going to court to enforce payment.
At this point, the Commissioner, Justice Yaw Appau said the state is loosing a lot of money because a large number of Ghanaians have collected judgement debts without paying tax.
He therefore promised to furnish GRA with the names of the beneficiaries to enable the Authority chase them for the money.