Negotiations on e-levy have collapsed – Bawa

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Bongo Member of Parliament, Edward Bawa has revealed that negotiations on the introduction of the e-levy have collapsed.

He made the revelation on the Key Points on TV3/3FM with host Dzifa Bampoh on Saturday December 11.

“Negotiations have collapsed,” he said.

He further questioned the Akufo-Addo administration’s decision of introducing more taxes when the New Patriotic Party (NPP) condemned the Mahama administration for making similar decisions.

Referring to an article published by the pro-NPP Statesman newspaper which criticised Mr Mahama’s introduction of taxes, Mr Bawa said Ghanaians thought the Akufo-Addo administration was not going to levy the people.

But reacting to his comment, Dr Kabiru Mahama, Economic Policy Analyst at the Office of the Vice President disagreed with the comments that negotiations have collapsed.

“From the government’s view, negotiations haven’t collapsed,” he said on the same show.

He further stated that the position of the Minority on the e-levy is not the position of government.

“It is quite unfortunate to state that consultations have collapsed,” he said.

The Finance Minister Ken Ofori had said at a press conference earlier that consultation were ongoing on the proposal.

He said “On the matter of the E-levy, having regard to its serious fiscal implications, we will continue our consultations with the Minority Caucus in Parliament and other relevant stakeholders, with a view to achieving consensus and reverting to the House in the shortest possible time.

“We  are determined to enhance domestic revenue mobilisation, the presence of our proposal on the E-Levy  is to widen the tax net and generate the required revenue to support entrepreneurship, youth employment to build our infrastructure especially roads and reduce our debts,” he said.

“Let me emphasise that the E-levy represents our greatest opportunity to in the medium-term widen the tax  base and meet the tax to GDP ratio of 20% as pertains among our peers.”

Meanwhile the e-levy was absent from the business statement for next week after Deputy Majority Speaker did not mention it in the House on Friday December 10.

By Laud Nartey|3news.com|Ghana