By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
The Herald ghanaThe Herald ghana
  • Home
  • General
  • Entertainment
  • Politics
  • Editorial
  • Business
  • Sports
  • Feature
  • Health
  • World
Reading: MoMo agents reject new tax
Share
Aa
The Herald ghanaThe Herald ghana
Aa
  • Home
  • General
  • Entertainment
  • Politics
  • Editorial
  • Business
  • Sports
  • Feature
  • Health
  • World
Search
  • Home
  • General
  • Entertainment
  • Politics
  • Editorial
  • Business
  • Sports
  • Feature
  • Health
  • World
Follow US
  • Advertise
Copyright © 2022 The Herald Ghana. All Rights Reserved
Business

MoMo agents reject new tax

larry.dogbey
Published November 18, 2021
Share
4 Min Read
SHARE

Some mobile money agents have rejected the introduction of the tax introduced on mobile money transactions by the government.

Some of the agents told TV3 after the budget presentation that “The telcos are already paying and you are coming to charge the vendor for it? How much are we making out of it? I am a graduate and I am doing this, how much do you think I am making? It is always based on commission basis.”

Another agent said “What they are deducting is not helping us but we are managing so it will be ok for them to manage the same levy they are taking so adding another one I am not sure it will help us.”

“So what happened to all the previous taxes we have been paying? We have a lot of them already. The thing is, you have made promises you need to fulfill you don’t have to drain me in order for you to fulfill,” another further indicated.

The Finance Minister Ken 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.

More Read

Ghana, Serbia partner on Lithium and tech to power economic growth

Bank of Ghana reports strong economic turnaround ahead of July MPC meeting
Doubts mount over Ato Essien’s presidential pardon campaign
Mustapha Hamid refutes OSP’s GHS280 million oil sector extortion claim

“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 explained that the new E-levy will be a 1.75 per cent 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.

This will, however, not affect transactions that add up to GH¢100 pr less per day.

“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.”

This new levy is scheduled to start Saturday, January 1, 2022.

In 2020, total value of transactions was estimated to be over GH¢500 million with mobile money subscribers and users growing by 16 percent in 2019.

According to a Bank of Ghana report, Ghana saw an increase of over 120 percent in the value of digital transactions between February 2020 and February 2021 compared to 44 percent for the period February 2019 to February 2020 due to the convenience they offer.

This was definitely heightened by the advent of Covid-19 especially during the lockdown.

Meanwhile, Energy Minister Dr Mathew Opoku has said a lot of education is required on the e-levy that has been introduced in the 2022 budget statement.

Speaking on the New Day show on TV3 he said the levy affect specific transactions, not all.

“The implementation is going to come with education, not everything that is affected. For example less than hundred cedis transaction is not affected. There is a lot of education that needs to be done,” the Manhyia South MP told TV3’s Johnnie Hughes on Thursday November 18.

Source: 3news.com

You Might Also Like

Ghana, Serbia partner on Lithium and tech to power economic growth

Bank of Ghana reports strong economic turnaround ahead of July MPC meeting

Doubts mount over Ato Essien’s presidential pardon campaign

Mustapha Hamid refutes OSP’s GHS280 million oil sector extortion claim

larry.dogbey November 18, 2021
Share this Article
Facebook Twitter Whatsapp Whatsapp Copy Link
What do you think?
Love0
Sad0
Cry0
Happy0
Surprise0
Angry0
Wink0
Previous Article YouStart: Target graduates with ideas not party supporters – Economist
Next Article ‘I’ve been battling liver disease but strong enough to work’ – Ofori-Atta
Leave a comment

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Stay Connected

Facebook Like
Twitter Follow
Instagram Follow
Youtube Subscribe
- Advertisement -
Ad imageAd image

Latest News

Stephen Asamoah-Boateng/Asabeee
“I never said that!” – Asabeee hits back at Joy News over Akufo-Addo apology to Ghanaians
General Major 1 July 19, 2025
Choose unity over evil – Afenyo-Markin urges NPP delegates
General Major 1 Politics July 19, 2025
Miracles Aboagye urges NPP to lower youth organizer age to 35
General Major 1 July 19, 2025
Freddie Blay: NPP’s path forward Is reform, not just a return to power
General Major 1 July 19, 2025
CurrencyRate

You Might also Like

BusinessMajor 3

Ghana, Serbia partner on Lithium and tech to power economic growth

July 18, 2025
Bank of Ghana/Economic Growth/MPC Meeting/Inflation
BusinessMajor 1

Bank of Ghana reports strong economic turnaround ahead of July MPC meeting

July 18, 2025
BusinessMajor 1

Doubts mount over Ato Essien’s presidential pardon campaign

July 18, 2025
BusinessMajor 1

Mustapha Hamid refutes OSP’s GHS280 million oil sector extortion claim

July 18, 2025
Show More

Copyright © 2022-2025 The Herald Ghana. All Rights Reserved

Removed from reading list

Undo
Welcome Back!

Sign in to your account

Lost your password?