The Minority caucus in Parliament has vowed to kick against the government’s proposal for a 1.75% tax on all electronic financial transactions.
The Minority Leader, Haruna Iddrisu, reiterated this during the Post-Budget workshop in Ho on Saturday.
According to him, the tax is a disincentive to investments and private sector development.
Haruna Iddrisu said the tax will overburden Ghanaians.
“Our concern is whether the e-levy itself will not be a disincentive to the growth of a digital economy in our country. We are convinced that the e-levy may as well even be a disincentive to investments and private sector development in our country… We in the Minority will not support government with the introduction of that e-levy. We are unable to build national consensus on that particular matter,” he said.
The 1.75% tax on electronic financial transactions was proposed in the 2022 budget statement presented before Parliament by the Finance Minister, Ken Ofori-Atta on Wednesday, November 17, 2021.
The Minister explained that the tax measure was to raise revenue to support the job creation initiatives, construction of road infrastructure, cyber security, and digital infrastructure.
Ken Ofori-Atta was hopeful that the proposal will come into full force from February 2022. However, the government is expected to engage the telcos on the policy.