The opposition National Democratic Congress (NDC) should abandon its campaign against the proposed 1.75 percent e-levy, according to political satirist Kwame A Plus, because the same party will defend its need and even increase the rate if it comes to power in the future.
“Those in charge of the anti-e-levy crusade should put an end to it.” Nobody influences the way I want to think, even though I have friends in both the NDC and the NPP. A Plus recently told Paul Adom-Otchere on Metro TV’s Good Evening Ghana that those leading the anti-e-levy movement “should stop it.”
According to him, while the New Patriotic Party (NPP) in government is imposing new taxes, the National Democratic Congress (NDC), which is currently fighting the e-levy, has imposed even more levies.
“Value added tax (VAT) increased from 12% to 15% in 2014 between 2008 and 2016.” In 2014, a 5% VAT was imposed on real estate transactions. On all medications save those sold in retail stores, a 17 percent VAT was imposed. The three-percentage-point flat rate was abolished. Financial services were subjected to a 17.5 percent tax. “Auctioneers and organisers of public entertainment were subjected to a 17.5 percent tax,” he explained.
“The most vexing one was [the imposition of] 17 percent [VAT] on gym and spa establishments,” he said.
“Capital gain tax on petroleum operations was imposed,” he continued, noting that “all of these were introduced.” They were excellent. It has my support. I can’t think of a period when I was against a tax.”
“The administration of the day [NPP] was against most of these taxes and campaigned with these and then came to power,” he stated at the time.
“These guys [NDC] will make a lot of noise about e-levy, get elected, and the same people will come here [to justify it].” “The E-levy will be raised,” he stated.
“The NDC will win power and raise the e-levy,” A Plus predicted.
“If the NDC wins power, the e-levy will not be abolished.” Someone will come on the show and explain why the e-levy is so vital now,” he said.
A day before, political commentator Ben Ephson accused the NDC of being hypocritical regarding the e-levy.
If the passing of the E-levy will make the ruling New Patriotic Party (NPP) unpopular, why would the NDC not support it and use it to win the next election, according to Mr Ephson?
“The NDC is being hypocritical,” Mr Ephson said in an interview with CTV’s Nana Yaw Adwenpa, adding, “If the e-levy is not good and would make people poorer, if I’m an NDC strategist, I’ll say: ‘Let them pass it and I’ll use the negative effect to campaign against the NPP to lose the elections.” Are you implying that you adore NPP more than you adore yourself? It’s a fabrication. Allow NDC’s Bagbin to say that if the e-levy passes, the party will lose.”
“The NDC is being disingenuous,” the pollster said. “I’ve met NDC folks who are enlightened and suspect there is something in the soup.”
“We’ve still got two years until the elections, and they know that if the e-levy passes, the NPP would get money for development,” he added.
To expand the tax base, the government has decided to tax allelectronic transactions in the informal economy.
This was said in the Ghanaian parliament’s reading of the budget statement and economic policy for 2022. The E-levy rate is 1.75 percent, which the government has decided to apply to all transactions.
Some Ghanaians are opposed to the fee, stating that it does not benefit the general public.
Some economists have also requested that the initiative be withdrawn, fearing that it will jeopardize the government’s digitalization efforts and ambitions to launch a digital currency.
The NDC has made it clear that it would not support the levy in any form, calling it “outright thievery.”
Due to disagreements over the E-levy bill, a scuffle broke out in parliament in December 2021.
