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We will resist 2022 budget until momo tax is removed – Lawyer

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Introduction of E-levy can delay digitization agenda -digital think tank expresses concern
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Communication Team Member of the National Democratic Congress (NDC), Lawyer Kojo Mensah says the party (NDC) will not vote for the approval of the 2022 budget if the e-levy is not removed.

He noted the COVID-19 pandemic has had great effects on the economy and the Ghanaian people, insisting the introduction of the 1.75% e-levy is insensitive and a huge burden on the Ghanaian.

“We will resist the budget until the momo tax is removed. We are suffering in this era of COVID-19 and the government still wants people to suffer with the introduction of the e-levy? The gov’t wants to introduce a digital economy and now they are doing something else which is opposite of their goal. The 2022 budget is an awudie budget and needs to be revised. The e-levy is a regressive tax which needs to be done away with,” he said in a panel discussion on the Epa Hoa Daben political talk show with Happy98.9FM’s Don Kwabena Prah.

The Parliament of Ghana has rejected the 2022 budget over mobile money (MoMo) taxes. The budget, which proposed to levy a 1.75% levy on mobile money, bank transfers and remittances was presented by Finance Minister, Ken Ofori-Atta.

Many Ghanaians are opposed to the Momo levy, and there was mounting pressure on the parliamentarians to remove the taxes.

The government proposed to protect financial inclusion by charging the MoMo levy for transactions above GH¢3,000 (about 490USD).

Statements by government officials suggest that the levy proposal may be renegotiated.

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