On December 21, 2022, an amendment to the Electronic Transaction Levy (E-levy) Act was presented to the legislature.
Finance Minister Ken Ofori Atta declared during the introduction of the 2023 Budget that he intended to eliminate the daily non-taxable threshold of GH100 and lower the e-levy rate from 1.5% to 1%.
The levy was intended to be applied to any amount transferred electronically by the government.
The Minority then made it clear that they opposed the abolition of the GH 100 level.
The clause that intended to eliminate the GH $100 threshold, however, was left out of the bill when it was presented to the House on Wednesday for approval.
The initial 1.75% rate that was proposed earlier this year was reduced to the current 1.5% rate.
There were numerous protests and opposition to the levy’s establishment. However, the government claimed that it was a sizable revenue-generating tax required to support economic revenue.
Mobile Money transactions surged from GH1.55 billion to GH9.86 billion between 2017 and 2021, however the amount has since sharply decreased.