Professor John Gatsi, says Dr. Mahamudu Bawumia’s assertion to scrap the taxes on electronic financial transactions(e-levy) if elected president of Ghana should not be taken serious citing his involvement in introducing the taxes in his role as the chairman of the Economic Management Team
The NPP flagbearer pledged to abolish the e-levy and four other taxes to encourage the population to use electronic channels for payment.
Delivering his first major address to the nation after his election as NPP flagbearer, during which he gave broad policy outlines of a Bawumia Presidency, Dr. Bawumia minced no words in declaring his opposition to taxes on electronic financial transactions, declaring that he will abolish e-levy as President.
Dr Bawumia added that his bid for a Digital and Cashless Ghana will be significantly boosted if e-levy is abolished
Reacting to the flagbearer’s proposal, Professor John Gatsi said fulfilling it would be a challenge as the levy was introduced by the government to generate revenue, as part of requirements by the International Monetary Fund for the grant of an extended credit facility.
Professor Gatsi described the proposal as merely a political strategy to make Dr. Bawumia a sellable candidate to voters in the general elections. He indicated that it is something the NPP’s flagbearer cannot do when voted as president.
“I believe that all these discussions are going to be centered on 2025, and it is just a political strategy to make Bawumia look good for the election because you have already created a revenue stream for this government, and the IMF program will not end in 2025. So, to say, you need the same level of revenue to sustain the program. I don’t understand how you will be able to take one revenue source from the kitty and remain sustainable in the eyes of the IMF.”
“What Bawumia should be saying is that he will propose taxes A or B to replace the e-levy. If that is not what he is saying, then it is not something he can do, especially under the IMF programme.”
