• Economists and the Minority in Parliament argue that the Levy would simply exacerbate the problems of ordinary Ghanaians.
• The E-Levy Bill was passed by the Majority-sided Parliament on Tuesday, March 29, after nearly three months of back and forth, including fisticuffs among Parliamentarians.
• The Levy was enacted at a lower rate of 1.5 percent, down from 1.75 percent initially, due to a Minority walkout.
The Electronic Transfer Levy, known as E-Levy, is set to be implemented next month 1 May 2022, thus the Ghana Revenue Authority (GRA) has outlined the transactions that will not be affected by the new tax policy.
According to the Authority, although the tax policy is to broaden the tax net, not all electronic transactions will come with a 1.5% tax rate.
Speaking on JoyNews’ Current Affairs show dubbed ‘The Probe’. Head of Compliance, Domestic Tax Revenue Unit at GRA, Mr. Victor Yao Akogo listed transfers that will not be taxed as follows;
Electronic transactions that will not be affected
A cumulative transfer of ¢100 is made by the same person.
A transfer between accounts owned by the same person.
Transfers for the payment of taxes, fees on the Ghana.gov platform
Electronic clearing of cheques
Specified merchant payments (that is, payments to commercial establishments registered with the GRA for income tax and VAT purposes)
Transfers between the principal, master agent, and agent’s accounts.
For the transfers that will be affected;
Mobile money transfers are done between accounts on the same Electronic Money Issuer.
Mobile money transfer to a receiver on another Electronic Money Issuer [Interoperability transfer]
Transfer from a bank account to [another person’s] mobile money account.
From a mobile money account to [another person’s] bank account.
Bank transfers on an instant paid digital platform.
Transfers for the payment of taxes, fees, and charges on the Ghana.gov platform
Electronic clearing of cheques
Specified merchant payments (that is, payments to commercial establishments registered with the GRA for income tax and VAT purposes).
Transfers between the principal, master agent, and agent’s accounts.
Credit to Source: Adomonline
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