EXTRAS
How to avoid paying E-LEVY on MoMo transactions in Ghana
Discover the various strategies for evading the E Levy tax in Ghana 2022. This article will provide you with the necessary information regarding how to avoid or avoid paying the newly implemented Electronic Levy (E Levy) Tax.
Following the imputation of the throat-cutting E-LEVY on May 1, 2022, Ghanaians have been looking for ways to avoid paying E-LEVY while using mobile money services.
As a result, some individuals have shared valuable nuggets on how individuals can bypass the E-LEVY deductions while using MoMo.
How is that even possible? Well, one would have to pay an E-LEVY charge of 1.25% on any transfer made in addition to the charges by the telcos. Exorbitant!
How can one, therefore, use MoMo transactions without the E-LEVY having an effect on the finances?
But before we dive into the various ways, here are some key variables about the e-levy worth noting.
What is E-levy?
E-levy which is the short form of Electronic Transaction Levy is a tax applied on transactions made on electronic or digital platforms.
When will the E-levy take effect?
The E-levy will take effect on all electronic transactions on the 1st of May, 2022.How is E-levy calculated?The government will apply a rate of 1.50% on all applicable transactions. How will the e-levy be applied? The levy will be applied to every transaction above GHS 100 on a daily basis. That is, after every GHS 100 (cumulative spend) in a day the e-levy will be applied.
Does E-levy affect bank transactions?
Yes. The e-levy will also apply to bank transfers and remittances just as it applies to mobile money transactions.
How do I bypass paying the e-levy on all MoMo and bank transfers?
Now, this is the question that has been on the lips of 90% of Ghana since the bill was introduced in parliament by the Finance Minister, Ken Ofori Atta.
Below are the various steps one can employ during transactions in order to avoid paying the e-levy.
Yayra Koku shared the tip by writing…
- Avoid sending money from your bank account to any Momo wallet.
- That is going to attract 1.5% E-Levy.
- Since withdrawal from your Momo wallet is exempted from E-Levy, anytime you want to send money to someone, tell the person to go to an agent and allow cash out.
- Send the person your ID number, and you are through.
- If you can't do any of these, go back to using ATM and Cheque book.
- E-Levy is another avenue for Akufo Addo to enrich his family and friends. Don't be part of this daylight robbery
Sabonzy, a Twitter user also shared his tips by writing…
- To avoid payment of the 1.25% E-Levy taxes, do the following; (This is not illegal means but avenue to protect the poor in the society)
- Send/Receive money at agent point
- Send money in GHC 100 daily
- Avoid bank to other momo transfers
- Avoid bank to bank transfers
Others have also suggested that subscribers could start using the Mobile Money platform Vodafone Ghana offers which is free of charge.
