Gabby Asare Otchere-Darko, a member of the ruling New Patriotic Party, says E-Levy is not a terrible tax, but from the look of things, Ghanaians hate anything tax.
In a series of postings on Monday, June 27, the lawyer bemoaned that the E-Levy hasn’t met government expectations since its adoption in May.
According to him, the tax policy has barely generated 10% of the expected income.
In a subsequent tweet, the co-founder of Danquah Institute said that despite the E-Levy not delivering on promised income, it is not a negative tax since Ghanaians do not want to pay taxes.
If the e-levy isn’t generating the expected income, it’s not a terrible tax. Gabby Asare Otchere-Darko tweeted: “Ghanaians don’t want to pay taxes.”
Historically, president Akufo-Addo signed the E-Levy into law in March despite objections from Ghanaians, the Minority in Parliament, civil society groups, and other stakeholders.
The administration feels the tax move is vital to overcome revenue shortfalls and improve revenue mobilization and economic management, despite criticism that it is regressive and would reverse progress toward a cashless economy.
Parliament approved it in March 2022 after a five-month deadlock. The levy’s estimated 2022 income was reduced from GH6.9 billion to GH4.9 billion.
If the e-levy is so far not bringing in the estimated revenues, it does not mean it is a bad tax. It means Ghanaians simply do not want to pay taxes. @@
— Gabby Otchere-Darko (@GabbyDarko) June 27, 2022