E-levy is not panacea to revenue shortfall; go to IMF – Mark Assibey-Yeboah

A former New Juaben South MP, Mark Assibey-Yeboah, has disputed government’s claims that the introduction of the Electronic Transaction Levy (E-levy) is the solution to generating more revenue to resuscitate the economy post-Covid-19.

According to the New Patriotic Party (NPP) politician, government should halt the E-levy bill’s passage and consider seeking financial support from the International Monetary Fund (IMF).

He stressed that so many exemptions could make it difficult for government to achieve its ¢6.9 billion targets.

“If I was the Finance Minister, I will be convincing the President that it is about time we went back [to IMF]. In my estimation, the maximum amount we can get from the E-levy is ¢5 billion, which is less than a billion dollars.

“So I do not think that the E-levy is going to be a panacea to our revenue. Going to the IMF will ensure some stability, and above all, we are going to get some $3 billion,” he told Accra-based Citi FM.

The nation has been divided on the proposed E-levy since Finance Minister, Ken Ofori-Atta, announced it in November 2021.

The tax policy seeks to add a 1.75 per cent charge on every electronic transaction over ¢100.

Government is, however, struggling to pass the controversial bill due to strong opposition from the National Democratic Congress (NDC).

The Minority argue that the imposition of the tax will heighten the sufferings of the ordinary Ghanaian.

However, government maintains that E-levy is the “homegrown” technique to restore the economy badly hit by the Covid-19 pandemic.

Source: myjoyonline

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