E-levy Bill laid before Parliament

The controversial E-Levy has finally been laid before parliament for consideration.

Despite assurances given by some government leaders including Deputy Majority Leader Afenyo Markin that the levy would be reviewed, it has been maintained at the 1.75%.

The Minority had insisted on their resolve to kick against the levy.

They want it to be scrapped because it will burden Ghanaians.

Presenting the 2022 budget statement in November this year, Finance Minister Kenneth Nana Yaw Kuntunkunuku Ofori-Atta announced a new levy to be charged by government in 2022 on all electronic transactions to widen the tax net and rope in the informal sector.

“It is becoming clear there exists enormous potential to increase tax revenues by bringing into the tax bracket, transactions that could be best defined as being undertaken in the ‘informal economy’,” Mr Ofori-Atta observed on Wednesday, November 17 as he presented the 2022 budget statement in Parliament.

“After considerable deliberations, government has decided to place a levy on all electronic transactions to widen the tax net and rope in the informal sector. This shall be known as the ‘Electronic Transaction Levy or E-Levy’.”

He stated that the levy would be 1.75 percent charge on all electronic transactions covering mobile money payments, bank transfers, merchant payments and inward remittances to be borne by the sender except inward remittances, which will be borne by the recipient.

“A portion of the proceeds from the E-Levy will be used to support entrepreneurship, youth employment, cyber security, digital and road infrastructure among others.”

These are what the nine clauses of the bill entails: