The Convention Peoples Party (CPP) has called on all well-meaning Ghanaians and Parliament to reject the Electronic Transaction Levy (E-Levy) and other nuisance taxes, and task government to come up with a better, humane, practical and meaningful way of raising revenue to pay its debt.
According to the CPP, the imposition of a tax of 1.75% on Electronic Transactions is not only a lazy man’s way of raising revenue but also shows a government that does not mean well for the people. This, the CPP believes, is sending a signal that the suffering of the Ghanaian does not matter and all that matters is the money that government can rake into its coffers.
The CPP described the current Vice President, H. E. Mahamudu Bawumia as an “Economic Messiah and Financial Wizard” who said in 2016 that “using taxation as a major form of revenue mobilization is a lazy man’s way of raising revenue for the nation”. Yet, CPP said, the government is doing worst under his watch as the leader of the economic management team.
Finance Minister Hon Ken Ofori Atta, was quoted by the CPP to have disclosed that government raised GHS 570 billion from Electronic Transactions in 2020 and so he believes “this is a ready resource to plunge into and carry away booty into a kitty with a gaping hole at the bottom”.
Basis for the imposition of the E-Levy
How on Earth can any caring government impose a tax of 1.75% on Electronic Transactions including bank charges and Mobile Money Transactions and others? the CPP quizzed.
“The Finance Minister has forgotten that over 90% of Ghanaians, mostly the poor, depend on the Mobile Money Electronic- Transactions for their day to day economic and business transactions. The sad aspect is that we have not been told fully what the money accrued through this tax would be used for”.CPP
The CPP argued that the Government should have taxed the profit margins of the Telecommunication Companies running the Mobile Money Business instead of putting the burden on the ordinary Ghanaian who is already reeling under the burden of existing numerous taxes.
To the CPP, “it is clear that the current NPP government has no Development Plan to fix this country and this is evidenced in the ‘LAZY MAN’S APPROACH’ to generating revenue through the nuisance Electronic –Transaction Levy and other taxes which have been imposed on us since the beginning of the tenure of this government”.
Government lacks focus
The CPP labelled the government as “trial and error” which has no direction, clue nor focus on how to manage the economy of Ghana. How can a government promote digitalization and slap a tax on electronic transactions? the CPP asked.
The Convention Peoples Party highlighted in a statement that it demanded accountability from the current NPP government as it believes government has borrowed over GHS 3.5 billion and accumulated a debt to GDP ratio of over 80%. The CPP underscored that the government has nothing to show for its borrowing and the economy is in stack “STAGFLATION” with no growth and no wealth creation for the country.
“The Government cannot use COVID – 19 a pandemic that has hit the whole world, as an excuse for their inefficiency and inability to manage the Economy of Ghana. They should agree that they have totally failed and as it stands they are bereft of ideas in running this nation.
“The CPP wants to let all Ghanaians know and understand that the inability of the current NPP government to run the Economy successfully is a measure of mismanagement, misplaced priorities, misappropriation and wastage. ENOUGH OF USING COVID-19 as an excuse, wake up from your slumber and work”.CPP
Government being insensitive
CPP said it believes in a State-led Economy where Government is the main driver of Economic growth, whilst the Private Sector plays a supporting role to government. However, it believes this is not the case with the current government which is being “insensitive”.
“We Believe industrialization through State Intervention is the way to go in creating employment and harnessing economic growth and development. We also believe that local businesses should be supported to foster and grow as the state takes the lead to ensure that private sector growth is achieved through value addition and exports. The State involvement in Economic development which includes job creation should be dominant. Examples of State led economies which have succeeded are Malaysia, Indonesia, Singapore etc”.CPP
The Convention Peoples Party (CPP) averred that it is saddened by the insensitivity of the current NPP government to the economic plight of the ordinary Ghanaian who is struggling to make ends meet. Ghanaians Ghanaians Ghanaians
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