{"id":2389,"date":"2021-11-17T18:42:43","date_gmt":"2021-11-17T18:42:43","guid":{"rendered":"https:\/\/expressnewsghana.com\/?p=2389"},"modified":"2021-11-17T20:26:37","modified_gmt":"2021-11-17T20:26:37","slug":"poverty-will-worsen-with-1-75-momo-levy-minority-laments","status":"publish","type":"post","link":"https:\/\/expressnewsghana.com\/?p=2389","title":{"rendered":"1.75% MoMo levy will Worsen Poverty -Minority laments"},"content":{"rendered":"\n

The Minority has kicked against the introduction of the new 1.75 per cent Electronic Transaction Levy, commonly known as MomO, claiming it would further worsen the suffering of Ghanaians.<\/strong><\/p>\n\n\n\n

According to the Minority, the tax which sought to charge 1.75 per cent per every transaction of GHS100.00 and about would affect the poor Ghanaians and increase the suffering they already undergoing through President Akufo Addo led government.<\/p>\n\n\n\n

They however threatened to reject the new taxes announced by Finance Minister, Ken Ofori-Atta, when he presented the 2022 Budget Statement and Economic Policy to Parliament on Wednesday, November 17, 2022.<\/p>\n\n\n\n

Speaking to the press after the Minister\u2019s budget presentation in Parliament, THE Ranking Member of Finance Committee of Parliament, Hon Cassel Ato Forson said the new levy will \u201conly increase hardship and compromise inward remittance.\u201d<\/p>\n\n\n\n

He said the Minority will thus \u201cstand by Ghanaians in opposing the momo tax.\u201d<\/p>\n\n\n\n

The levy will be waived for transactions that amount to GHS 100 or less in a day, or approximately GHS 3,000 per month.<\/p>\n\n\n\n

Ken Ofori-Atta announced the scrapping of road tolls and the introduction of E-levy to cover Mobile money transactions, remittances and other electronic transactions.<\/p>\n\n\n\n

\"\"
HON ATO FORSON<\/strong><\/figcaption><\/figure>\n\n\n\n

Fees and charges of government services have also been increased by 15%.<\/p>\n\n\n\n

\u201cTotal value of transactions for 2020 was estimated to be over GHS 500 billion Cedis compared to GH\u00a278 billion Cedis in 2016 just 5 years ago, while total mobile money subscribers and active mobile money users have grown by an average rate of 18% and 16% respectively between 2016 and 2019. Mr Speaker, it is becoming clear there exists an enormous potential to increase tax revenues by bringing into the tax bracket, transactions that could be best defined as being undertaken in the \u201cshadow economy\u201d.<\/p>\n\n\n\n

\u201cAfter considerable deliberations, the 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 \u201cElectronic Transaction Levy or E-Levy.\u201d<\/p>\n\n\n\n

The Deputy Ranking Member for the Finance Committee of Parliament, Hon Isaac Adongo stated that the levies will overburden the already suffering masses.<\/p>\n\n\n\n

He assured the minority will scrutinize the levies and reject them if need be.<\/p>\n\n\n\n

\u201cThese are people who keep exploiting our vulnerabilities in order to throw a bitter pill down our throat\u2026So I just want to encourage Ghanaians that going forward when these people tell you that they are bringing good things, look at how much they are taking from your pocket,\u201d Isaac Adongo told EXPRESSNEWSGHANA<\/em><\/strong>.<\/p>\n\n\n\n

The Minority in Parliament has vowed to resist the government\u2019s decision to impose a 1.75 per cent levy on all electronic transactions.<\/p>\n\n\n\n

The 1.75 per cent levy will be imposed on transactions<\/strong> <\/a>covering mobile money payments, bank transfers, merchant payments, and inward remittances.<\/p>\n\n\n\n

The Finance Minister, Ken Ofori-Atta, who disclosed this during the presentation of the 2021 Budget Statement, said the levy is aimed at enhancing financial inclusion and protecting the vulnerable.<\/p>\n\n\n\n

Similarly, the General Secretary for the NDC Johnson Asiedu Nketia said the government has failed to relieve the masses of the current hardships in the budget.<\/p>\n\n\n\n

\"\"
HON ISAAC ADONGO<\/em><\/strong><\/figcaption><\/figure>\n\n\n\n

In his considered view, the government is revisiting the plan to construct a new chamber of parliament in spite of the financial difficulties the country is going through.<\/p>\n\n\n\n

The government said portions of revenue collected from the levy will be used to support entrepreneurship, youth employment, cybersecurity, digital, and road infrastructure among others.<\/p>\n\n\n\n

It is the expectation of the government that the implementation of the new policy will come into force effective January 1, 2022, if the appropriation is passed.<\/p>\n\n\n\n

The Government will work with all industry partners to ensure that their systems and payment platforms are configured to implement the policy\u201d.<\/p>\n\n\n\n

The Minister said the total value of transactions for 2020 was estimated to be over GHS 500 billion as compared to GH\u00a278 billion in 2016, while total mobile money subscribers and active mobile money users have grown by an average rate of 18% and 16% respectively between 2016 and 2019.<\/p>\n\n\n\n

\"\"
PARLIAMENT OF GHANA<\/strong><\/figcaption><\/figure>\n\n\n\n

Source: expressnewsghana.com<\/strong><\/p>\n\n\n\n

Send your news stories and articles to expressnewsgh@gmail.com<\/a><\/u> or via WhatsApp +233 0543 900 732<\/em><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"

The Minority has kicked against the introduction of the new 1.75 per cent Electronic Transaction Levy, commonly known as MomO, claiming it would further worsen […]<\/p>\n","protected":false},"author":1,"featured_media":2390,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3,20],"tags":[77,217,218],"class_list":["post-2389","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-breaking-news","category-parliamentary","tag-minority","tag-poverty","tag-worsen"],"yoast_head":"\n1.75% MoMo levy will Worsen Poverty -Minority laments - Express News Ghana<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/expressnewsghana.com\/?p=2389\" \/>\n<meta property=\"og:locale\" content=\"en_GB\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"1.75% MoMo levy will Worsen Poverty -Minority laments - 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