QUESTION ONE (30 Marks) An important duty of a professional accountant in practice is to minimize a clients tax liability by legal means. However, over the years, a cat and mouse game has developed between the tax professionals involved in what have become a tax anti-avoidance industry and the Ghana Revenue Authority. The game involves the tax professionals finding a loophole in the tax legislation which is plugged by specific anti-avoidance sections, by the Income Tax Act of 2015 (Act 89) as amended, leaving the tax professionals to find another hole which in turn is plugged by the Ghana Revenue Authority, and so on. In this way, the integrity and equity of the tax system is undermined by those taxpayers who can afford to pay for tax planning advice. In line with the above statement you have just been appointed as the tax consultant of LIBRA limited, a Lebanese company located at the Spintex road in Accra. At your first meeting with the Managing director of the company , he complained about the huge annual tax liability of the company which is having serious effect on the Liquidity of the Company. He therefore suggested to you to help reduce the 2019 tax liability of the company by window dressing the financial statements of the company. The 2019 tax liability has been calculated by the accountant as GHS10,621,500. REQUIRED a). As a professional accountant explain to the managing Director of the company the consequences of window dressing the accounts to reduce the tax liability of the company 15 marks b). Discus the legal means you can adopt in future to help reduce the tax liabilities of the company 15 marks