MTN Ghana has officially ended deducting the one percent Electronic Transfer Levy (E-Levy) on all mobile money (MoMo) transactions following the government’s implementation of new tax laws.
In a text statement issued to customers on Thursday, April 3rd, the telecom giant stated that the fee had been removed and would no longer apply to MoMo transfers.
The action comes after President John Dramani Mahama signed a new tax bill into law on Wednesday, April 2, 2025, which eliminated the betting tax and the pollution tax.
The withdrawal of the E-Levy prompted public queries concerning the implementation timeframe. MTN Ghana’s CEO, Stephen Blewett, addressed concerns at MTN House in Accra on April 2nd, stating that while the government had approved the repeal, telecom companies must follow regulatory procedures before discontinuing deductions.
“I can’t abolish E-Levy unless I’m instructed to do so. If I do it ahead of schedule, the Bank of Ghana is going to locate me. So we have a process that we must follow, and we will do so,” Blewett added.
He also stated that the repeal of the E-Levy is intended to reinvigorate the mobile money sector, which had suffered a standstill due to the tax. “The reason for the abolishment of the E-Levy is to encourage momentum in mobile money,” he said, adding that digital transactions are likely to expand as a result.
GRA instructs charged companies to stop deductions.
Following the presidential assent to the Electronic Transfer fee (Repeal) Bill, 2025, the Ghana Revenue Authority (GRA) issued an order to all charging organizations, urging them to immediately cease deducting the 1% fee.
The directive, which takes effect on April 2, 2025, exempts all mobile money transactions from the fee. The Office of the Commissioner of the Domestic Tax Revenue Division stated that the Electronic Transfer Levy Management and Assurance System (ELMAS) has been upgraded to reflect the new policy.
“All charging entities must cease applying the 1% E-Levy from midnight on all their channels,” the statement read.
Additionally, the GRA has instructed all entities to process refunds for any deductions made after the levy was officially abolished. Charging entities must also maintain detailed records of all reimbursements and submit them to the GRA for accountability purposes.
The elimination of the E-Levy, Betting Tax, and Emission Tax is a significant policy move by President John Dramani Mahama, fulfilling an essential campaign pledge of the National Democratic Congress (NDC). The tax repeal comes after Finance Minister Dr. Cassiel Ato Forson introduced eight tax-related proposals in Parliament on March 13th, 2025.