Deputy General Secretary of the National Democratic Congress (NDC), Peter Boamah Otokunor, has disclosed that the proposed introduction of the e-levy will dissuade individuals in the country from using mobile money services.
According to him, it will be impossible for government to rake in its intended revenue due to the crippling nature of the levy on Ghanaians. Speaking at the ongoing ‘Yentua demonstration’ organized by the opposition NDC to register its displeasure over the introduction of the levy, Mr Otokunor indicated that what the several introduced taxes by the current government have done, is to “fund the luxury of the President”.
“The NPP thinks that this time around they cannot collect money from the poor people to go and satisfy the insatiable desires of the President. When you look at the budget they presented to parliament, almost GHC3.5 billion is being dedicated to the office of the President. This e-levy is supposed to, according to them, rake in some GHC6 billion. I think we will not be able to get GHC6 billion because even the introduction of the levy will move people from using mobile money. But be that as it may, more than half of that money is going into funding the luxury of the President and we think that cannot be supported”.
Peter Boamah Otokunor
Expressing his satisfaction over the turnout for the demonstration, Mr Otokunor intimated that during the planning of the demonstration, the party reckoned that Ghanaians didn’t understand how “monstrous” the e-levy was. As such, there was the need to do more education on the subject, especially as minority in parliament is determined to resist the“retrogressive, oppressive tax called the e-levy”.
E-levy is a lazy man’s approach
Justifying the need for the demonstration, he revealed that failure to go ahead with the demonstration and fighting against the e-levy will mean that “posterity will judge us” for ignoring the problem. According to him, the greater number of persons who turned up for the demonstration represent a “wide metric of people” who will be affected when the levy is implemented.
“You saw the mobile money operators, you saw the ‘kayayeis’, you saw the fishermen and fish mongers… you saw everyone who matter in this country, who form critical part in this economy, saying out there that they abhor [and] they disgust the introduction of the e-levy and the reasons are very simple. They are saying that to whom much is given, much is expected. We are not seeing any positive returns from what we have given to this government”.
Peter Boamah Otokunor
Following this, the Deputy General Secretary for the NDC described the decision by the majority to ensure the implementation of the e-levy as a “lazy man’s approach” to solving problems. He emphasized that if government wants to “widen the tax net” this is not the best approach.
“We know that Ghana has a huge tax potential so we can do more. Last year alone, how many companies did they [government] give them tax holidays? W are giving tax holiday to the tune of about GHC15 billion, then you want to rely on GHC6 billion… You are giving out GHC15 billion and you want to struggle with the poor and small businesses for GHC6 billion. Who does that?”
Peter Boamah Otokunor
Mr Otokunor stressed that tax exemptions are not important because the greater part of the economy lies with the informal sector and it is the duty of government to invest in structures that will make businesses grow and make them profitable. Nonetheless, he revealed that what government is currently doing is initiating a policy that will make businesses less profitable, thereby collapsing small businesses.
READ ALSO: Chief Justice Eulogizes Asantehene, Otumfuo Osei Tutu II
