With few days to the swearing-in of President-elect, John Dramani Mahama, the Mobile money Agents Association of Ghana (MMAG) is reminding him of his commitment to scrap the controversial E-levy.
The Association says they are highly expectant and in high spirits, awaiting the day the tax many have described as obnoxious and nuisance will be scrapped by Mr. Mahama.
The group in a statement congratulating the President-elect for his landslide victory in the last year’s presidential polls bemoaned the huge negative impact E-levy has brought in the momo business as well as other businesses.
The statement signed by the General Secretary of the Association, Evans Otumfuo narrated the additional burden the controversial E-levy has brought on customers.
As Mahama gears to take over the reins of governance, MMAG says they are confident in his commitment to scrap the tax to bring relief to businesses and customers reeling under the impact of the obnoxious tax.
“We have confidence in you and cannot wait for your administration to cancel the E-levy, which has caused disruptions and imposed an additional burden on our customers while affecting our businesses,” the statement indicated.
The association maintains that scrapping E-levy will not only boost the spread of digital financial services and inclusion but will also propel economic growth and development while supporting the sustainability of the Momo business.
President-elect, Mahama in the campaign period pledged to scrap some nuisances such as the E-levy, Betting Tax, Emission Levy and COVID-19 levy. Analysts say scrapping these taxes could cost the nation some GHC 6 billion in revenue annually.
The promise, also captured in Mr. Mahama’s 120-day social contract, has received mixed reactions from analysts and economists expressing split opinions.
While the likes of Yaw Nsarkoh and Prof. Peter Quartey are kicking against the scrapping of these taxes bemoaning the revenue gap it could create in addition to the corrective measures the betting tax serves, Dr. Theo Acheampong and Dr. Richmond Atuahene are all for it.
According to those in favour of the promise to scrap these taxes, Ghana has other untapped revenue-generating potentials such as property taxes and reforming GRA which could improve domestic revenue mobilization. This they believe can compensate for the estimated loss from cancelling these taxes.
For them, the underlying principle is that Ghanaians deserve relief from such obnoxious taxes eroding their incomes and making life unbearable in a high-cost-of-living environment.
