The Member of Parliament for Kade Constituency in the Eastern Region, Honourable Alexander Kwadwo Agyare has said Ghana will be in danger if the Country returns to International Monetary Fund for Financial support to support the Economy.
According to him, Ghana might be a forced to stop public sector employment, salary increment, and the controversial lesbian, gay, bisexual, transgender, and questioning (LGBTQ) may be in the conditionality for financial support from the European countries.
Speaking during public sensitization on the controversial Electronic levy in Asamankese, Honourable Alexander Kwadwo Agyare Ghana can move forward and fulfill promises in the 2022 budget if the Electronic levy is accepted by Parliament and implemented.
In early 2015, Ghana turned to the IMF for a $918 million loan to help stabilize the economy because Ghana’s economy was in trouble, hobbled by widening account and budget deficits, rampant inflation, and a depreciating currency.
The fiscal deficit remained high in 2014 despite gradual fiscal consolidation efforts undertaken since mid-2013; In addition, the government started facing increasing financing difficulties.
But the Kade MP said going back to IMF should not be the best alternative for Ghana and expressed worry over the delay in the approval of the Electronic levy to rescue the Country foreign aid and said the minority in Parliament has approved all items in the 2022 budget but they are against Electronic levy because they want the Country to go for a bailout and be controlled by foreigners.
He said the Electronic levy will not be compulsory for all Ghanaians but members of the National Democratic Congress are moving to Towns and Villages and deceiving Ghanaians that the levy will put a hardship on Ghanaians.
The MP said the electronic transfer levy (e-levy) of 1.50% was introduced in the 2022 Budget Statement to widen the tax net and rope in potential taxpayers in the informal sector and only a few people will pay.
Below are the transactions that will be taxed;
- Mobile Money Transfers between accounts on the same Electronic Money Issuer (EMI)
- Mobile Money transfers from an account on one EMI to a recipient on another EMI
- Transfers from bank accounts to mobile money accounts
- Transfer from mobile money accounts to bank accounts;
- And Bank transfers on a digital platform or application which originate from a bank account belonging to an individual, to another individual.
However, the e-levy will not cover the following transactions;
- Cumulative transfers of GHS 100 per day made by the same person;
- Transfers between accounts owned by the same person;
- Transfers for the payment of taxes, fees, and charges on the Ghana.gov platform;
- Electronic Clearing of Cheques
- Specified merchant payments (i.e. payments to commercial establishments registered with GRA for Income Tax and VAT purposes); and
- Transfers between principal, master-agent, and agent accounts.
Source: Mybrytnewsroom.com/Kofi Atakora
