Omanghana
The Member of Parliament for Tano North, Dr Gideon Boako, has criticized the government’s digital Value Added Tax collection system, arguing that its application to betting platforms such as Betway could effectively restore the financial burden associated with the abolished betting tax.
In a public statement on Friday, October 16, 2026, Boako questioned the government’s explanation that the policy merely improves the collection of existing taxes. He maintained that consumers who previously paid no VAT on qualifying services would experience the deductions as an additional expense, regardless of the legal distinction.
The Ghana Revenue Authority, however, says the collection system, which took effect on October 15, introduces no new tax. According to the authority, the existing effective rate is 20%, comprising 15% VAT, a 2.5% National Health Insurance Levy and a 2.5% GETFund Levy. The system targets electronically supplied services provided by foreign companies to consumers in Ghana.
Boako likened the arrangement to an “E-Levy Pro-Max,” warning that charges on qualifying digital payments could increase costs for consumers and businesses using bank cards and mobile money services. His comparison represents a criticism of the policy’s financial impact, rather than an announcement that the abolished levy has formally returned.
The legislator also raised concerns about Ghanaians studying or living overseas. He argued that students purchasing digital services with Ghana-issued bank cards could face deductions even when those services are consumed outside Ghana, questioning whether the collection mechanism adequately accounts for users’ locations.
Beyond the immediate cost, Boako called for clearer safeguards against double taxation. He urged the GRA to explain how duplicate deductions would be prevented and how consumers could obtain refunds when wrongly charged.
He maintained that the government must address the practical consequences for households and businesses alongside its explanation of the policy’s legal basis.
Source: Omanghana
