Mr Isaac Kwabena Amoako, a member of the E-Levy Technical Committee, claims that the E-levy collection will raise the country's tax-to-GDP ratio from 12.5 percent in 2021 to 20% in 2024.
He said that just 2 million persons out of the country's population of nearly 30 million paid direct taxes, with 12 million being active employees.
He said the e-levy was one of several initiatives aimed at bringing the informal sector and other organizations or institutions within the country's tax net.
Mr Amoako stated this during a Ghana Revenue Authority-organized awareness event for specific identified groups on the implementation of the Electronic Transfer Levy Act, 2022 (Act 1075). (GRA).
Except for electronic transactions that are exempt from the Act, the Act imposes a tax on all eligible electronic transfers.
He claimed that the government's decision to impose the levy was made to increase domestic revenue mobilization, extend the tax base, and provide citizens a chance to contribute to national development.
The charge does not apply to anyone who withdraw money from their mobile money wallet, according to Mr Amoako, who is also the Head of GRA's Project Management Team.
Transfers not covered by the e-levy include cumulative transfers of GHS 100 per day made by the same individual using mobile money and transfers between accounts controlled by the same person, according to him.
"For example, because Naa has linked all of her accounts to her Ghana Card, a transfer from Naa's AirtelTigo wallet to her MTN wallet, or from her Fidelity bank account to her Prudential bank account, or from her CalBank savings account to her current or investment account will not attract the Levy," he explained.
Transfers for the payment of taxes, fees, and penalties, electronic clearing of checks, Specified Merchant Payments, and transfers among principal, agent, and master-agent accounts are all exempt from e-levy costs.
According to the Act, transfers that fall under the E-Levy include mobile money transfers between wallets on the same electronic money issuer, sending money from one Vodafone Cash wallet to another person's AirtelTigo wallet, and sending money from one Vodafone Cash wallet to another person's AirtelTigo wallet.
Transfers from bank accounts to mobile money wallets, mobile money wallet transfers to bank accounts, and bank transfers via an instant pay digital platform or application that begin from an individual's bank account.
"For example, Kwame utilizing the ADB App to transfer money from his ADB account to Akua's National Investment Bank account," he explained.
Mobile money providers such as MTN Momo, Vodafone Cash, AirtelTigo Money, Zeepay, GCB G-Money, and Yup Ghana, as well as payment service providers such as e-Tranzact, JuniPay, Korba, Nsano, banks such as Consolidated Bank Ghana, GCB Bank, and ADB, and Specialised Deposit-Taking Institutions such as Rural and Community Banks, Savings and Loans Companies, Finance Houses, and other.
In response to participants' worries about incorrect deductions, Mr Amoako advised that any unauthorized deductions should be notified to the appropriate sector for a reimbursement.
Taxpayers would be able to exclusively utilize the Ghana Card for refunds of any incorrect deductions from July 1, 2022, he added.
blogpay
