NDC’s Johnson Aseidu Nketia says the introduction of the electronic levy (e-Levy) on mobile money (MoMo) and other digital transactions by the government in the 2022 budget is absolutely “needless"; for now.
He said the recent hardship on Ghanaians with the E-levy introduction will worsen the situation after the government failed to fulfil its heaven on earth’ promises.
To him, perhaps in the future when the economy is stable, the E-levy can be reintroduced.
“E-levy is not needed now, that is my argument. I am not saying perpetually electronic transactions should not be taxed in future....but currently in such challenging times, it is a mark of insensitivity to impose this tax,” NDC’s General Secretary, John Asiedu Nketia said in an interview with NEAT FM.
E-Levy To Widen Tax Net
Finance Minister Ken Ofori-Atta, last week, announced that the government intends to introduce an electronic transaction levy (e-levy) in the 2022 budget.
He said this was to “widen the tax net and rope in the informal sector”.
Reservations About E-Levy
But several Ghanaians have expressed concern over the proposal.
They said the introduction of the levy in the 2022 Budget would compound the high cost of living in the country.
E-Levy Details
The proposed levy, which will come into effect on 1 February 2022, is a charge of 1.75% of the value of electronic transactions.
It covers mobile money payments, bank transfers, merchant payments, and inward remittances. The originator of the transactions will bear the charge except for inward remittances, which will be borne by the recipient. There is an exemption for transactions up to GH¢100 ($16) per day.
According to the finance minister, the total digital transactions for 2020 were estimated to be over GH¢500 billion (about $81 billion) compared to GH¢78 billion ($12.5 billion) in 2016. The huge growth in just five years.
Difficult Times Currently
However, the move has been criticised by many people, with some saying levies were taking all their earnings and making cost of living very high.
The NDC, together with some opposition parties, appear to be in that bracket.
Source: King Edward Ambrose Washman Addo/peacefmonline.com/ghana
Disclaimer: Opinions expressed here are those of the writers and do not reflect those of Peacefmonline.com. Peacefmonline.com accepts no responsibility legal or otherwise for their accuracy of content. Please report any inappropriate content to us, and we will evaluate it as a matter of priority. |
why do we give so much ink to such deplorables like Asiedu Nketiah, he's nothing but a parasite on state resources...
The message of the Akufo-Addo Administration is: Ghana beyond aid. And he seems to be very consistent with that mantra. Indeed, the mantra of unwavering determination to propel Ghana forward. Therefore, he has to think beyond the box to do things differently as opposed to the status quo since our independence. And, if we are being honest and evaluating his performance within his policy guidelines and accomplishments to date, we should recognize that he has made many notable heads. Whether it is in his education, industrialization, or infrastructure policies, the bottom line is that we could realize that he is being dynamic in modernity in his approach to bringing Ghana forward. Of all these, we can see in many regions in Ghana the upspring of physical development. I bet if Ghanaians were left to keep their own counsel and determine who rules them for their benefit, the NDC would be dormant for the next twenty years.
This is the hypocrisy of the NDC. What Asiedu Nketia saying? That the see something good in the E-levy but for political-game reasons, they will not support it now until when they come to power. By the way, who told them they are going to come into power at all.
I sometimes become terribly upset when I hear certain big shots of the NDC comment on certain national issues. Yes, I am strongly inclined to believe that they just lack the requisite basic competence as politicians. Then, when their counterparts in politics are innovative in solving the dire problems of the nation by leapfrogging with the technology of the day, they baselessly oppose it without showing what they would have done better. Quite often, they appear diabolically cynical. Why don't we give it a try based on the current state of technology and digitalize the economy to expand our tax net? At the end of the day, there would be more taxpayers in the net and the unit levy would be lower for everybody. We all, as Ghanaians, accept that the current structures are such that only a few employers are captured in the net, and hence appear to be leaking. So what speaks against it if we could use digitalization to patch it? Yet, the learned members of the NDC have lost their reasons. Mind you, we should be mindful that we just can't be doing the same old thing over and over again and expect different results
Yes oh, their real fear is that with this tax, government borrowing will go down while revenue and achievement goes up. Skin pain politicians. Ghanaians, let’s support this government on it’s good policies and continue holding them in check against endemic corruption. NPP is a better alternative to the NDC any day. Never thought I’d ever have to say this.
This is Shameful! In the least. You oppose everything good… smh
NDC has opposed everything that NPP government proposes so this is not different. They will oppose it today and in the supposed future. If they can oppose free SHS, capitation grant, NHIS etc, how can they support E-levy? Meanwhile, they imposed a lot of taxes under their government than this NPP government.
So you want to come to power and then in a U-turn impose it.