Features
The controversy rages on: Churches’ statutory tax obligation to the state …to pay or not to pay?

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In this beautiful country called Ghana, Churches are not required to pay taxes on their properties to the state because they are considered rendering services to God. They are not required to also disclose their finances in whatever form to government. They are, therefore, exempt from payment of income tax even though they receive other favourable treatment under the law.

This practice has existed for many years during which the country had a limited number of churches which concentrated on the word of God and did not make profit margin their primary objective. Churches generate their income through offering, pledges, sponsorships, memorials, capital campaigns as a normal practice.
PROLIFERATION OF CHURCHES AND NON-PAYMENT OF TAXES
With the emergence and proliferation of thousands of churches across the country, some of which even do not have auditoriums or places of worship but use classrooms and rented accommodation for their worshipping and other day to day activities, thus generating a lot of revenue and income from their operations, it has now become imperative to revisit the law that exempts churches from the payment of taxes to the state and decide otherwise. It appears that the commercial aspect of most of these churches has overridden the main objective of rendering services to God and the cardinal objective has been to amass wealth at the expense of the State. Even the big time orthodox or traditional churches which in the past were not used to this practice, have also joined the bandwagon of commercialising their operations to raise funds for their upkeep. Some of them have established a well-furnished auditoriums and theatres with recreational facilities, where funerals, weddings, parties, private meetings, seminars and conferences among others, are held regularly and fees are charged for the use of the facilities.
PROFIT-ORIENTED PRIVATE AND ONE-MAN CHURCHES
As for the private and one-man churches, the least said about them the better. Some of them have instituted consultation fees for members who are interested in seeing their pastors, evangelists and so-called men of God for special healings and deliverances. Some of these men of God have used their intelligence to come out with special water and anointing oil which they sell at a fee to their members or congregation. Consultation fees, attract various sums of money from gullible and interested members who want to see their pastors for problems solving. Let us also don’t forget that some of these churches have established and running their own television and radio stations. These are some of the avenues being adopted to raise funds for their churches and the pastors. I was told of a particular one-man church where the pastor imposed a levy on members just to purchase a car for himself.You cannot rule out some of these so-called pastors and men of God asking their members to fill their wardrobes with clothes and other items for them and their wives.
PUBLIC ARGUMENT ABOUT CHURCHES PAYING TAX TO THE STATE
Some of these negative behaviours from leaders of some religious organisations across the country have necessitated the recent argument from the public as to whether churches should pay taxes on their incomes since they have commercialised their operations in various ways. It is recalled that in August last year, this particular issue of churches paying tax to the state came up at a forum in Accra. At that forum, the Commissioner General of the Ghana Revenue Authority (GRA), made it emphatic that his outfit would conduct investigations into the activities of all churches in the country with the view to tax them based on their level of business transactions. Whether what he said a year ago has been carried out is something we need to know as Ghanaians. It appears that at times, people placed in positions of authority made profound policy statements but failed to act on them and that has been the bane in our dear country.
PASTORS’ ARGUMENT ON PAYMENT OF TAX BY THE CHURCH
Currently, some of our well established and profound pastors in the country have joined the fray in this particular argument as to whether the church should pay tax to the state. For instance, Dr. Lawrence Tetteh, the leader of the Worldwide Miracle Outreach was reported to have taken a swipe at people who were demanding the taxation of churches by the state. He said in a speech recently that, “Today, very ignorant people wake up and say the church should be taxed. That is an insult from the economic point of view; that is double taxation.” He went further, “Remember in the history of the Bible, we had ungodly people who asked the church to be taxed. What people lose sight of is that, the people you think are very rich, you can count them; you live in Ghana, how many pastors use Land Cruisers? If you take the few of us (pastors) that seem to be doing well, we are not more than ten”. According to him if you look at Ghana, but for the church, the nation would have been as illiterate as some nations of the sub-region. We should applaud the church, he said. He asked; When you tax the church what do you gain?
DR LAWRENCE TETTEH’S VIEWPOINT ON THE CHURCH
Honestly, my good friend Dr. Lawrence Tetteh has admitted that only few pastors including him, which I can confidently agree, are doing well. Dr. Tetteh is my greatest pal and I know his commitment to his pastoral duties and not like other profit making pastors, but I shudder to disagree with him about his views on pastors not to pay tax, even though they have commercialised their activities to make money. Yes, some of these churches have complemented the efforts of government by providing mission schools to train our youth in addition to supporting community activities and these are quite commendable. However, in a situation in which the chunk of these small churches continues to hide behind the pulpits to amass wealth without paying a dime as taxation to the state is to me not relevant and should not be entertained whatsoever.
REV ODONKOR’S ASSERTION ON THE CHURCH BEING TAXED
The Clerk of the General Assembly of the Presbyterian Church of Ghana (PCG), Rev. Dr. Gordon Nii Noi Odonkor, also in an address, admitted that it was just and fair for the government to tax churches on business they do. To him, churches are not island in the running of the State and once they engaged in a profit-making venture, they needed to be taxed on those activities. However, he said, offertory and tithes, especially where they were used for social work, could not be described as business for them to attract tax. He said in an interview with the press that “if churches collect offering and use the offering for charity work, it will be unfair to tax them. But where we do business and especially where these businesses are for individual pastors and these monies go into individual pockets, I think it is Christian, it is fair and it is just to tax them like all other businesses”.
I believe most Ghanaians including me, appreciate the thought and viewpoint of Rev. Odonkor on this particular issue and will suggest that the law that exempts churches from paying tax to the State should be re-examined and amended so that churches operating on commercial lines should be roped in the tax net to generate enough revenue to carry out developmental agenda of government. So many avenues to generate revenue for the state, remain untapped while the people are being constantly burdened with all kinds of taxations that are making life unbearable for Ghanaians.
The Ghana Revenue Authority must initiate moves to ensure that individual churches that are scattered across the country and are making profits at the expense of the State are duly registered and taxed for the betterment of our dear country.
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By Charles Neequaye
Features
Cry my beloved Ghana
Someone said, if we cannot plan for an occurrence as predictable as the annual rains, then what else can we plan for as a country? God has caused nature to schedule rains for specific periods or months within the year and everybody knows this.
One need not be a meteorologist to tell that the rains will fall in May and June every year. Any serious person who has something that the rains can affect, would therefore plan taking into consideration the likelihood of the rains falling. Therefore to find out that a whole country like ours, had not planned effectively, is mind-boggling.
The report by the World Bank that fiscal policy measures by the Finance Minister has led to no money being released for the World Bank sponsored project to deal with the perennial flooding situation in Accra, is so disappointing. The fact that this contributed immensely to the flooding in Accra, is an understatement.
There have been fires in our markets, but who is checking the wiring on a regular basis as a system designed to prevent future outbreaks? The occurrence of fires in our markets is something that must engage the attention of government and all the stakeholders.
The causes may be several but if a system of proper fire prevention is in place, l believe the number of occurrences will be drastically minimised. Electrical wiring for instance has been found to be one of the causes of market fires. Fire as we know from the experts, can only happen if these three things are present, namely source of heat, combustible material and oxygen i.e. air.
lf any one of these is missing, there will be no fire. It has been realised that heat generated in wires have caused fires in the past and therefore, an effective system must be put in place to ensure that, only certain approved qualified electricians, can execute wiring jobs in our markets instead of the current situation where different electricians execute wiring with different types of wires, of different quality, dimensions etc.
Preventive inspections schedule must also be put in place to endure compliance with uniform wiring standard, as well as adherence to expiry dates of the wires.
What baffles me is why some MCEs and DCEs are still at post while things are deteriorating in their areas of influence and yet the President or the Minister for Local Government seems to be unwilling to relieve them of their positions. People have lost their lives, official count is about 37 lives, properties worth millions of Ghana Cedis have been destroyed, people’s livelihoods have been destroyed and they are at ground zero.
We can go on and on and on about the devastating impact of the recent floods. Suddenly, we have these local authority heads, all over the place, demolishing buildings after the flood. Is this not insanity? Where were the LUPSA Engineers who issue permits at the local assemblies?
If they were doing their jobs, for which they are paid every month, they would have seen people constructing structures at Ramseyer sites. They would have seen people putting up structures very close to the bank of streams or rivers and could have enforced the regulations, which could have averted the level of impact on lives and property.
One particular issue which drives me crazy is the Kasoa to Mallam Junction stretch of the N1. The traffic jam between West Hills Mall and Weija Junction is due to the flooding of a place called Ataala. Anytime it rains heavily, the area floods and vehicles moving from West Hills towards Weija cannot use their normal lane but are forced to switch to the inner lane of those headed towards West Hills Mall from Weija and it did not start yesterday. I am so, so disappointed. God Bless.
By Laud Kissi-Mensah
Features
The palaver of daily chop money

The romance between man and wife ends where chopmoney palaver begins. When the man is leaving for work and the woman’s face looks like a rainy day, anyone can guess that the chop money delivered is quite below sea level.
But when she smiles too broadly for comfort and waves her husband goodbye zealously, it means the man did not only perform well under the cover of darkness but also dished out the correct amount of chop money.
The typical matrimonial home is a complex one. Many factors contribute to fuelling or preventing occasional civil wars. When Pyram became a household word, some husbands and wives put heads together, went borrowing, sold their belongings and invested in the sham scheme.
When Pyram collapsed, many marriages got shattered beyond repair. Wives blamed their husbands and husbands complained about nagging wives. In a few instances, punches were traded. Crises could not be managed as debts soared and creditors wanted back their money.
Chop money grew slim. Only Mr Kofi Annan could negotiate a truce between warring partners as daggers were drawn. The Pyram palaver brought more woes to Sikaman than the joy it was supposed to bring.
Many women have died from distress and frustration. All their resources which were joyfully invested in the scheme cannot be retrieved.
“Today, the Government says it cannot use taxpayers’ money to pay those who lost various sums of money to the two money-doubling banks Pyram and Resource 5000 Ltd. “We told you not to take your monies there and you didn’t listen. Paddle your own canoe, or canoe your own paddle,’ says the Sikaman government.”
The chop money palaver in Sikaman is getting heady. People are citing chop money problems for their offences. The newspapers report of a man who allegedly injected his three-week-old daughter with DDT because the wife was disturbing him with chop money matters too much. He is being tried by the courts.
Some women claim they abandoned their babies because their fathers refused to offer chop money. So when they dump the babies in the latrine, they are relieved of any burden. Looks like maternal instincts are withering out of mothers. These are indeed times when mothers no longer love their children because of chop money palaver.
Stomach capacity
The amount of chop money a father gives out each day, week or month depends on the family size and the stomach capacity of each family stomach. Members of some families are very light eaters and little is spent on food. But for other families where some members have ‘double chambers’ the food budget requires additional funds.
Indeed, in some families, members have natural appetite for food whether or not they take peters (bitters). And when food isn’t enough, there can be an uprising against constituted domestic authority, the family equivalent of the Guinea Bissau rebellion.
Yes, where one person can eat four balls of kenkey and cry for more, but is given only two balls, he can get angry and start breaking louvres.
The chop money size also depends on the level of nutrition typical of each family. Some families believe in the third world theory that QUANTITY is better than QUALITY. The bigger the banku and the smaller the fish, all the better for Ghanaians. Yes quantity, not quality. Such families stock maize in bags.
Those who believe in quality spend much on vegetables, meat and fish and therefore spend more, but it is worth it because they are healthier and stronger. They also spend on fruits and are averse to the “quantity supremacy” theory.
The problem with chop money issues is that when the correct amount is not flowing, the women think the men are misapplying their salaries in overt pleasures. They accuse their husbands of drinking too much bitters and burukutu, and they can prove the accusation using a formula. They only have to smell the breath of their partners. The fuse can be great!
One woman told her neighbour when her husband comes back home drunk, he behaves like a walking distillery, swaggering like a drunken sailor. You’d think he has been baptised with raw akpeteshie or immersed in the stuff. Her only compliment was that in spite of his alcoholic status, the guy could perform. That is Viagra or no Viagra.
Women also accuse men of chasing other women in the same manner as a he-goat does. Half their salaries cannot be accounted for as a result, they claim. So when the chop money isn’t at least at sea-level, they must protest either noisily or stage a sit-down strike.
Domestic sit-down strikes by wives can cause problems. When a man takes full quarter and is expecting a wonderful dinner with soup and its accompaniments and comes to meet an empty table and a brooding woman, he can go berserk. The clash can be worse than a plane crash.
As it were, it all requires patience to make a marriage last, chop money or not.
This article was first published on Saturday, July 11, 1998




