2023 Budget: We will reject scrapping of threshold on E-Levy with all our strength – Minority

The Minority in Parliament has accused government of attempts to make Ghanaians poorer over tax measures announced in the 2023 Budget Statement and Economic Policy.

When Finance Minister Ken Ofori-Atta visited Parliament on Thursday, November 24, to present the 2023 Budget, he announced a 2.5% increment in Value Added Tax (VAT) as one of a number of tax reviews in the budget.

The Minister also disclosed that government has decided to reduce the charge on the Electronic Transaction Levy (E-Levy) from 1.5% to 1%.

Mr. Ofori-Atta added that the cap on the first GHS100 transaction per day will be scrapped.

Speaking on the floor of Parliament today during the debate on the budget, former Deputy Finance Minister Dr. Cassiel Ato Forson stressed that the scrapping of the threshold is unacceptable as it will make poor people suffer.

“Again let us be mindful that this same administration during the E-Levy debate had informed us that no one particularly the poor people will be taxed when transferring money to another person. And as a result of the E-Levy, they are going to introduce a threshold to exempt small payments of GHS100. Today they are telling us that the GHS100 that the poor people apparently engaged in the transfer they are going to bring it back. Why should we in this house, in this difficult economic condition still tax the poor person who your policy has made poorer?

“Mr. Speaker I can confirm to you that we in the Minority have made a position that on this matter we will reject it with all our might and all our strength for the Republic of Ghana,” Dr. Ato Forson who is the Minority’s spokesperson on Finance said.

He noted that the Minority is convinced that the new arrangements on the E-Levy are not the best and must not be accepted by Parliament.