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E-levy: Anybody who can transfer GH¢3,000 in a month is not poor in Ghana — Prof. Adei

Economist and Former Chairman of the Ghana Revenue Authority, Professor Stephen Adei has added his voice to the electronic transaction levy aimed at generating revenue for the country.

Professor Stephen Adei

According to Prof Adei, any Ghanaian transferring over GH¢3,000 through mobile money is not poor, therefore, must be taxed.

The passage of the controversial E-levy has raised questions if indeed the government intends to decrease the suffering of Ghanaians.

In an interview with Accra FM, Prof. Adei said anyone with the capacity to transfer GH¢3,000 in a month could not be classed as poor.

"For the poor, even if you transfer GH¢100 thirty times, you will not pay e-levy… anybody who is able to transfer GH¢3,000 in a month is not poor in Ghana because the average graduate pay is GH¢1,500.”

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"So, the E-levy will not affect a lot of people," he said.

Earlier, Vice President Dr. Mahamudu Bawumia insisted that there is no need for taxes on people sending MoMo because most of the users are poor.

However, the President assented to the E-levy Bill on Thursday, March 31, 2022, despite a challenge at the Supreme Court by the Minority in Parliament against its passage.

He believes criticisms against the passage of the controversial tax are unfounded, as countries affected by the pandemic equally resorted to unpopular measures to revive the economy.

According to him, "The world is going through very difficult times. Ghana is no exception, Nigeria is no exception. There is no country in the world that has escaped the ravages of COVID-19… What you need to look at is the elements being put on the ground that looks beyond the Russia Ukraine war."

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"The economy has gone through very difficult times. I can quote statistics of the US and UK economies, but they will not serve a purpose. It is a phenomenon that is going on which has made life difficult," he said.

The government will from May 1, 2022, charge a 1.50% rate on the E-levy that are more than GH¢100 on a daily basis.

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