The controversial Electronic Transaction Bill has been passed into law by a one-sided Parliament after the Minority walked out in opposition Tuesday.
The Bill was passed after going through the various stages of passage in the House after the Minority walked out before the second reading.
The Minority maintains the bill is regressive and inimical to growth.
The Majority has been consistent despite the setbacks in passing the law.
E-levy is expected to increase tax revenue by GHs 6.9 billion (US$1.1 billion) for the government to help reduce the budget deficit. Government after government has struggled with implementing a comprehensive tax regime due to the large informal economy.
Mobile money has provided a platform for bringing the informal sector to formal financial services and that provides a channel to implement a tax regime that reaches almost all its adult citizens, the government said. The potential revenue generated will be used to finance the ‘YouStart’ Initiative, road construction, develop the digital space of Ghana, and particularly the development of basic education in the country amongst several others.
The Finance Minister Ken Ofori-Atta moved for the levy to be amended from 1.75% to 1.50%.
The changes were made in the House on Tuesday after the Minority walked out of the House in opposition to the Bill.
In December 2021, Deputy Majority Leader, Alexander Afenyo-Markin said the percentage to be charged as electronic transaction levy (E-levy) will be reduced from 1.75% to at least 1.5%.
