E-levy: Review minimum threshold to GH¢200 - Ken Ashigbey

1.75% tax has been put on electronic transaction

1.75% e-levy to widen the country’s tax net, Finance Minister

Ken Ashigbey asks government to increase electronic transaction levy’s exemption threshold to ¢200

Chief Executive Officer of the Ghana Chamber of Telecommunications, Kenneth Ashigbey, has shared an opposing view on the minimum amount of money the newly introduced e-levy takes effect on.

According to him the 1.75% electronic transaction levy should be pegged at transactions exceeding GH¢200 and not GH¢100 as proposed by government.

He said that will enable petty traders that use mobile money to transact business continue working.

Also, it will give room for the poor and vulnerable in society to take advantage of digitalization.

Speaking on Joy FM’s Super Morning Show on Monday, November 22, he said, “From the way they want to implement it [the e-levy], it is going to be between your mobile money if you’re transferring money in the same network to another person if you had done a debit card payment at a point of sale if you transfer money from your mobile money to another bank account or from a bank account to another person’s mobile money...Our suggestion is that even this particular levy may be increased to ¢200 per day, but it should be on a wallet.”

It would be recalled that Finance Minister, Ken Ofori-Atta, during the 2022 budget reading in parliament on November 17 announced the introduction of 1.75% tax on all electronic transactions.

According to him, this new directive forms part of strategies to widen the country’s tax net.

He added that the 1.75% tax is also to enhance financial inclusion and protect the vulnerable in the country.