Tax expert, Dr. Abdallah Ali-Nakyea has said government’s E-electronic transaction levy (E-levy) otherwise referred by many as MoMo tax is deepening the tax net rather than widening it.
He says the policy clearly exhibits double taxation since taxes have already been paid on monies lying in people’s wallet.
Dr. Nakyea, speaking with Alfred Ocansey on TV3’s Ghana Tonight Wednesday, August 24, 2022 noted even though MoMo transactions are going up, the e-levy is not doing well because people don’t want to pay taxes.
The reason he noted, is due to the massive corruption that has characterised the system with taxpayers not knowing what their monies are being used for.
Dr. Nakyea added that, the principle of naming and shaming is not really helping enough, advocating for a naming, recover and shaming.
Dr. Ali-Nakyea opines it is only when perpetrators of corruption are punished that the real shame is realised.
He indicated the $3 billion lost to corruption is worrying, considering Ghana seeking a bailout of similar amount from the International Monetary Fund.
“The confidence of taxpayers to continue paying their taxes is based on what their tax is used for. If they know their taxes are going to be misused, then they’ll misuse it themselves. We should name, recover and punish. Not just naming and shaming. People go to the Public Accounts Committee to defend. We are losing close to $3b to corruption according to the GII report,” he explained.
By Felix Anim-Appau|Onuaonline.com
