Assistant Professor of accounting and financial management at the University of Sheffield, Dr Sharif Mahmoud Khalid has called on the government to drop the E- levy and accept an IMF bailout program.
Dr Sharif Khalid made the statement in an interview with Home Radio on Friday, 4th February 2022, while commenting on the Government new tax policy, E-Levy.
Dr Sharif Khalid questioned why the government has not considered going to the IMF, but pushing the E- levy on Ghanaians.
He said, ” going to the IMF is Cheaper than the E- Levy if the government is ready to work on the proper terms of the bailout conditions”.
Dr Sharif however indicated that the government looks afraid and may not want to go to IMF considering the latest Fitch ratings.
Ghana has been downloaded to B- by Fitch in its latest report on Ghana’s economic outlook.
He further remarked, the government has a challenge in justifying the current tax system as most taxes are unproductive.
” We have the Road Fund, We have the Getfund, what are the benefits? so bringing new taxes would be challenging” – Dr Sharif Khalid
The nation has been divided on the proposed E-levy since Finance Minister, Ken Ofori-Atta, announced it in November 2021.
While a fraction believes that the tax policy will generate revenue for the government to undertake developmental projects, others believe it will intensify the sufferings of citizens.
The tax policy seeks to add a 1.75 per cent charge on every electronic transaction over ¢100.
By Adil Fuseini
