The Ghana Revenue Authority (GRA) has announced that it will work with the Finance Ministry to address critical flaws in the Electronic Transactions Levy (E-levy) law that could have a significant impact on some subscribers if the tax is introduced.
Isaac Kobina Amoako, a Principal Revenue Officer and Head of the GRA’s Project Management Unit, stated that salaries paid by mobile money will be subject to the E-levy, despite the fact that the salary would have already been taxed.
He explained that the current legal framework does not distinguish between a company mobile money account and an individual mobile money account.
Mr Amoako went on to say that the Authority has been made aware of potential issues that may arise as a result of this circumstance, and that all such concerns will be referred to the Finance Ministry in the hopes of having them handled.
“That is something that has come to our attention, and we’ve passed it along to our superiors to investigate.” However, for the time being, the law appears to have caught everyone, including payments made from corporate cell accounts. In fact, the disbursements from corporate accounts were not specified for the banks, indicating that they are excluded.
“However, under the MoMo, there was no distinction between a corporate MoMo account and an individual MoMo account; hence, we’ve received some kind of feedback from the public that it will effect salaries, loan disbursements, and so many other things,” he stated.
The Authority, on the other hand, highlighted the breadth of exclusions and how people can avoid paying taxes by transferring money between their accounts.
Victor Yao Akogo, the Head of Compliance at the Domestic Tax Unit, stated in an interview on Sunday that a cumulative transfer of $100 per day made by the same individual will not be subject to the E-Levy.
“E-Levy will not apply to a transfer between accounts controlled by the same individual; for example, if I hold a Fidelity account and move money to my GCB account, E-Levy will not apply.” E-Levy will not apply if I transfer to my Ecobank account, Prudential bank account, or CBG account.” We have a one-of-a-kind identifier, the Ghana Card, which we will employ.