Government did a good job in identifying E-Levy as critical tax - Atuguba explains

Professor Raymond AtugubaW3EFRTGYH Dean,UG Law school, Prof. Raymond Atuguba

Tue, 1 Mar 2022 Source: www.ghanaweb.com

E-Levy announced in 2022 budget

1.75 levy widely rejected by Ghanaians

E-Levy a smart way of revenue collection, Prof. Atuguba

Dean of the University of Ghana School of Law, Prof. Raymond Atuguba has lauded government for the idea to tax electronic transactions in recent times.

He noted that the collection of E-Levy will be easy compared to that of other taxes.

The law lecturer also stated that the E-Levy is a more efficient revenue venture whose yields will be visible earlier than other taxes such as the property tax.

“If you look at the size of the tax that will come in, the ease of collection, the reduced cost of collection, it must be E-Levy. Property Tax, it will take you 10 years to find the real owner of the building at Lands Department before you then issue the tax, meanwhile we needed the money right now,” he explained.

Speaking during a lecture on a reviewed 1992 constitution in Accra on Monday, February 28, he stated that, “They did a very good job of identifying exactly at this critical moment of economic collapse, the one tax that can save us. That you can’t take from them."

Prof Atuguba explained that, "Like Kwesi Botchwey identified during the Gulf War, when fuel prices went up, that just by putting small tax on fuel, he’ll weed off a lot of money, Ken Ofori-Atta has discovered that in COVID times, just by putting small tax on Momo, he would rake in billions in dollars.”

The 1.75% E-levy was announced by Finance Minister, Ken Ofori-Atta during his presentation of the 2022 budget last year in parliament.

The levy which was supposed to come into effect on January 1, 2022 has since its announcement come under intense opposition by Ghanaians, especially the Minority in parliament.

The Bill was withdrawn from parliament and is yet to be re-laid before Parliament for approval.

Source: www.ghanaweb.com
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