CPP describes 2022 budget as ‘Kumepreko’

The Convention Peoples Party (CPP) have said they are saddened by what they call the insensitivity of the current New Patriotic Party (NPP) government to the economic plight of the ordinary Ghanaian who is struggling to make end meet.

A statement issued by the party on Monday November 22 said “this attitude of insensitivity and aloofness exhibited by the current NPP government is clearly postured in the contents and outcomes of the 2022 Financial Statement as presented to Ghanaians through Parliament by the Minister of Finance and Economic Planning Hon. Ken Ofori Atta, a believer in the Christian faith, who disregards the plight of the poor and suffering masses in this Country called Ghana.”

The Finance Minister during the presentation of the budget statement announced a new levy to be charged by government in 2022 on all electronic transactions to widen the tax net and rope in the informal sector.

“It is becoming clear there exists enormous potential to increase tax revenues by bringing into the tax bracket, transactions that could be best defined as being undertaken in the ‘informal economy’,” Mr Ofori-Atta observed on Wednesday, November 17 as he presented the 2022 budget statement in Parliament.

“After considerable deliberations, government has decided to place a levy on all electronic transactions to widen the tax net and rope in the informal sector. This shall be known as the ‘Electronic Transaction Levy or E-Levy’.”

He explained that the new E-levy will be a 1.75 per cent charge on all electronic transactions covering mobile money payments, bank transfers, merchant payments and inward remittances to be borne by the sender except inward remittances, which will be borne by the recipient.

This will, however, not affect transactions that add up to GH¢100 pr less per day.

“A portion of the proceeds from the E-Levy will be used to support entrepreneurship, youth employment, cyber security, digital and road infrastructure among others.”

This new levy is scheduled to start Saturday, January 1, 2022.

Reacting to the budget, the CPP said “Through all the changing scenes of hardships and imposition of nuisance and killer taxes which have been handed over to Ghanaians throughout the tenure of this government, it is unthinkable that a 15% increase will be slapped on all government services and here it means that as it stands any Ghanaian having any transaction with government is to pay an additional 15% on all existing charges.

“As a citizen of Ghana if I have to patronise a public toilet being administered by the Metropolitan and District Assemblies I need to pay an extra charge of 15% on the existing fee.

“Henceforth acquisition of National Identification Cards, Fees at Public Hospitals including mortuary fees, fares on Metro Mass Transit and STC buses, Company Registration fees etc. would all attract an additional charge of 15%as stipulated in the 2022 Budget Statement.

“This is unacceptable and is a predetermined act of exploitation and a calculated attempt to ensure that the Ghanaian Masses are totally and completely improvised whilst a few of the ruling class stay wealthy and enjoy life to the fullest.

“A government whose Economic Management Team is led by H. E Mahamudu Bawumia a supposed Economic Messiah and Financial Wizard, today under his watch the poor Ghanaian is choking under the burden of a cocktail of taxes laced with “poison ivy’ ready to decimate the financial and economic fortunes of already struggling Ghanaians.

“Our household incomes (Chop Money) have been dwindled into nothingness because of the ineffective and harsh economic and financial policies which have been introduced by the current NPP Government.

“How on Earth can any caring government impose a tax of 1.75% on Electronic Transactions including bank charges and Mobile Money Transactions and others. As the current Vice President said in 2016 that using taxation as a major form of revenue mobilisation is a lazy man way of raising revenue for the nation, indeed this is not only a lazy man’s way of raising revenue but it is the way of a government who does not mean well for the people, sending a signal to all that the suffering of the Ghanaian does not matter, all that matters is the money that as government it can rake into their coffers.”