The Ghanaian Government has proposed to reduce the current E-Levy tax from 1.5% to 1% but will remove the GHC 100 daily threshold. That means all electronic transactions including mobile money and bank transfers will attract a 1% charge regardless of the amount transferred.
The proposal was made by the Finance Minister, Ken Ofori-Atta, in a presentation to parliament of the 2023 Budget Statement and Economic policy.
“We will review the E-Levy Act and, more specifically, reduce the headline rate from 1.5 percent to 1 percent of the transaction value as well remove the daily threshold,” the Minister said.
The E-levy review, among other reforms and interventions, according to the Finance Minister, forms part of revenue measures aimed at restoring macro-economic stability and accelerating economic transformation.
“Government has received several proposals for a review of the Electronic Transfer Levy, and is working closely with all stakeholders to evaluate the levy’s impact in order to decide on the next line of action – which will include a revision of the various exclusions.
“As a first step, however, the headline rate will be reduced to 1 percent of the transaction value alongside removal of the daily threshold,” he said.
Earlier this year, the Ghanaian parliament passed the Electronic Levy (E-levy) bill to help broaden the tax base but unfortunately, the bill hasn’t succeeded in reach its target amount.
