Pass the E-levy – Group to Parliament

Speaker Bagbin (R) Majority Leader (Left), and Minority Leader (Middle)
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A group calling itself Citizens United for Internally Generated Revenue is making a case for the passage of the controversial electronic transaction bill(e-levy).

According to the group, the passage of the bill which remains a bone of contention among Members of Parliament will give the economic situation in the country a facelift.

They argued that the ravages of the COVID-19 pandemic can be reduced by an internally generated taxation scheme such as the e-levy.

Members of the coalition group amassed at Obra Square at the Kwame Nkrumah Circle in Accra Monday March 7 holding placards bearing various messages.

Some of the placards read “The e-levy will give us more year of raods”, “The e-levy will widen our tax base so that we can reduce the burden on the few paying too much taxes,”2.4million Ghanaians cannot carry the tax burden of 30.8 million.

Spokesperson of Citizen United for Internally Generated Revenue, Clifford Panyin Bansah explained to journalists that, “If you look at the OECD countries, they are all introducing three new taxes. Every single country in this world is coming up with new ways of coming to work to come out of the pandemic.

“In terms of tax to GDP ratio, Ghana is well below its West African peers. It’s about an average of 6.6 percent and Ghana we are doing about 12 percent (2019) or 13 percent (2020). It is not good enough.

“We also know that a very few of us, about 8million are paying direct taxes while 1.2 are paying indirect taxes and it is not good enough. What we need to do is to expand the tax net. When you widen it, you’re able to capture a lot of people and the infrastructure and the social amenities that we need will follow. It is simple that we are basically not collecting enough.”

Mr Bansah added that, “the informal nature of our economy shows that we need to introduce taxes or levies like the e-levy that is wide enough to capture everybody.

“We are in favour of the e-levy because it is easy to collect, wide enough and collecting it and managing it is very efficient.”


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