E-Levy is a tax on savings – Seth Terkper

According to Mr Terkper, despite his personal belief in taxation, he does not support the new tax policy recently approved by parliament and assented to by the president.

“My first objection is that you are taxing savings,” the former finance minister stated when he appeared on Final Point hosted by Kwabena Owusu Agyemang on Top 103.1 FM.

He outlined that the E-Levy based on its structure smacks of double taxation as it will affect salaries paid through mobile money platforms.

He further described the policy as discriminatory as persons who choose to perform transactions outside of electronic platforms will be exempted from the 1.5% charge.

He went on to state that despite the projections and expectations given to the E-Levy policy by the current government, there is enough reason to believe that the government’s solution to the country’s economic woes “is not in levies.”

Seth Terkper maintained that the current government having imposed several levies on Ghanaians with little to no results to show, cannot be trusted to deliver using the new tax policies.

“So we are in a season of levies, it will not go away today. Your solution is not in levies. There are so many levies which have been introduced already, how come they are not solving our problems?” he questioned.

Having expressed disinterest in supporting the E-Levy and outlining his reasons, the former finance minister when probed by the host failed to give a direct answer on whether he will recommend the cancellation of the policy if the National Democratic Congress returns to power.

He however stated that the party will eventually have to let go of the policy if it regains power.

“There are certain promises you don’t know [make] because you don’t know the total situation,” he said.

But when pressed further by the host of the programme, Mr Terkper said “ultimately it has to go. Ultimately but I am saying that I don’t know the problem that we are coming to face.”