The directive, contained in a letter signed by the Minister of Communications, Ursula Owusu-Ekuful, also instructed network operators to stop passing on the 9% Communication Service Tax (CST) to subscribers.
"Communications, Mobile Network Organisations (MNOs) and the NCA on 7th and 8th October, 2019, we were informed that prior to 4th September 2019, MNOs had not been passing on CST to subscribers but had decided to take advantage of the 3% increase to pass on the entire tax to subscribers. This has effectively increased their profit margin at the expense of subscribers,” the letter noted.
The directive comes after the network operators decided to pass on the 9 percent increment of the Communications Service Tax to mobile users.
The tax was hitherto pegged at 6%. It was increased to 9% after the Finance Minister, Ken Ofori-Atta announced that the CST will be higher.
Mobile users have received text messages from their service providers about the increase. The telcos in their messages said the increase will be “applied to every recharge.”
“Dear customer, with the increase in Communications Service Tax – CST to 9%, effective 1st October 2019, CST of 9% will be applied to every recharge. Thank you,” a text to a Vodafone Ghana user read.
A statement issued by the Ghana Chamber of Telecommunications said that the increase means that “for every GH¢1 of recharge purchased, a 9% CST fee will be charged leaving GhS0.91 for purchase of products and services".