Ghanaians will from November 1, 2018, start paying more for the services rendered by telcos operating in the country.
The move has become necessary due to the adjustment of tariffs upwards in accordance with (ACT 970), NHIL (ACT 971) & GETFL (ACT 972).
In a statement dated October 17, 2018 signed by the CEO of the Ghana Chamber of Telecommunications Kenneth Ashigbey, the said increment is in accordance with the implementation of the new tax laws and customers of the various telecommunication services will be notified by their service providers prior to any changes being made.
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“The government as part of the 2018 mid-year review of the budget amended the Acts referenced above. The objective was to “give effect to the conversion of NHIL and GETFL into levies that are not subject to the input-output mechanism, and de-linking them from VAT by removing the option of input tax deductibility,” thereby giving both levies a unique and different legal identity and distinguished from VAT.
“Our members, who are responsible corporate entities, would comply fully with Ghana’s laws and ensure the distinction between VAT and the new levies emanating from their separate origins and basis in law. As intended, the incidence of the two new levies will thus be on consumers and will result in the increase of the cost of telecommunication service,” the statement said.
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Below is the statement from the Chamber
The Ghana Chamber of Telecommunications on behalf of its members – AirtelTigo, MTN and Vodafone – wishes to notify its esteemed customers and the general public of tariff modifications following the implementation of the new tax laws in accordance to the Act stated above.
The objective was to “give effect to the conversion of NHIL and GETFLinto levies that are not subject to the input-output mechanism, and delinking them from VAT by removing the option of input tax deductibility,” thereby giving both levies a unique and different legal identity and distinguished from VAT.
Our members, who are responsible corporate entities, would comply fully with Ghana’s laws and ensure the distinction between VAT and the new levies emanating from their separate origins and basis in law.
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As intended the incidence of the two new levies will thus be on consumers and will result in the increase of the cost of telecommunication services.
Customers of telecommunication services will be notified by their service providers prior to any changes being made and the expected changes will take effect on 1st of November 2018.
The telecommunications industry remains committed to full transparency and accountability to both the Government of Ghana and their customers.
