Minister of Finance, Ken Ofori-Atta has said that levies on electronic transactions have been increased to widen the tax net and rope in the informal sector.
Mr Ofori Attah in his presentation of the 2022 budget statement and economic policy to Parliament on Wednesday, November 17, 2021,
“After considerable deliberations, the 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.”
“Electronic transactions covering mobile money payments, bank transfers, merchant payments and inward remittances will be charged at an applicable rate of 1.75% which shall be borne by the sender except for inward remittances, which will be borne by the recipient.
“Mr Speaker, to safeguard efforts being made to enhance financial inclusion and protect the vulnerable, all transactions that add up to GH¢100 or less per day (which is approximately GH¢3000 per month) will be exempt from this levy. 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.
“Mr Speaker, this new policy comes into effect from 1st February 2022. The government will work with all industry partners to ensure that their systems and payment platforms are configured to implement the policy,” he stated.
Source: Mybrytfmonline/Joseph Asare
