E-levy (Ghana)

On 17 November 2021, Ken Ofori-Atta said the Government of Ghana decided to tax all electronic transactions in the informal sector to cover the tax net.[3][4] He made this known in the 2022 budget statement and economic policy that was read in the parliament of Ghana.[5] 1.75% is the rate of the E-levy which the Government decided to apply on all transactions.[1][6][7][8] Ken Ofori-Atta said it could raise about $1.15billion which will widen the tax net.[9] According to John Kumah, the money generated from the levy would be used for the payments of contractors in Ghana.[5] Also, revenue from the levy would be used to support entrepreneurship, cyber and digital security; road infrastructure and provide jobs to about 11million people in the country.[10][11][12] The Government of Ghana said that the introduction of the levy was due to the rise of the use of digital platforms for transactions because of the COVID-19 pandemic.[11]

Some Ghanaians were against the levy claiming it does not serve the interest of common people.[14][15]

Some economists asked for the proposal to be reversed, claiming that it will jeopardize the government's digitalization efforts and plans to introduce the digital currency.[3][16]

Haruna Iddrisu said the Minority in Parliament would not support the E-levy claiming it seeks to take away the money of a bigger proportion of Ghanaians in multiple phases.[17][5]

In December 2021, brawl broke out in the Parliament of Ghana as some MPs of NDC and NPP started punching, ripping shirts, kicks and head-butting each other due to the disagreement of the E-levy bill.[18][19]

Casiel Ato Forson claimed minority in parliament would reject the E-levy proposal.[20][21]Kojo Oppong Nkrumah claimed changes were made the E-levy bill after consultations were held,[22] and would be passed when Alban Bagbin is presiding.[23]

Joseph Osei Owusu adjourned sitting of parliament without the passage of the bill into an Act.[24]

Asiedu Nketiah has presented some E-Levy alternatives. The measures, he claims, will exacerbate the deficit that will be produced if the government abandons the contentious electronic transfer levy.[25]

Shatta Wale, a dancehall musician, has weighed in on Ghana's contentious E-vey bill, which has been trending for weeks. According to him, lawmakers that are eager to introduce the electronic transaction tax are unconcerned about Ghanaians' plight.[26]

MTN and AirtelTigo decided to reduce about 25% on their person-to-person mobile money transfer charges should the levy be passed.[27]

E-levy has been passed by parliament and will take effect from 1st May, 2022. Despite the passage of e-levy, the minority in Ghana's parliament are set to challenge it, at the supreme court. According to them the passage of e-levy is illegal because parliament lacked the required numbers to do so.[28][29]