E-Levy: Failure tax should be rejected, withdrawn – Prof. Gatsi

According to him the revision of the target is an indication that the tax has failed.

“So, when you look at the cost to this country, in terms of actual amount of money being spent on infrastructure to roll out the implementation of the tax, and again the cost of people not participating in the benefits of the digitalization and for that matter cashless transactions regime, you can come to the conclusion that the failure tax should be rejected, it should be withdrawn to allow people to participate in a cashless economy,” he said in a 3news interview.

Government, in the mid-year budget review, stated that the expected revenue from the E-Levy has been reviewed downwards from the initial ¢6.9billion to ¢611million.

Also, expected revenue from the Value Added Tax (VAT) was reviewed upwards from the initial ¢14,534,864,446 to ¢15,402,925,770.

However, the government earlier indicated that the E-Levy was not generating the expected revenue to help government undertake its operations.

SSD/ DA