Prime News Ghana

I will abolish teachers' licensing exams and the Communication Service Tax - Mahama

By Justice Kofi Bimpeh
John Mahama
John Mahama

Former President and flagbearer of the National Democratic Congress, NDC, John Mahama said when voted into power 2020 he will abolish the Communication Service Tax and teachers' licensing exams.

Engaging Ghanaians on social media on Monday, December 23 the former President Mahama said the tax is a nuisance one.

Speaking as part of his campaign process ahead of the 2020 general elections, the former President stated that abolishing the 50% Communication Service Tax and a drastic reduction in the size of government will be his immediate steps when voted into power again.

On the teachers' licensing exams, John Mahama said the exam is not needed because if quality is ensured in the teaching and learning at the various Colleges of Education they will be no need for the licensing exams.

He added that he will ensure quality at the Colleges of Education so that after they pass their final exams at the colleges they will be a good product to teach anywhere.

READ ALSO : Teachers licensing exams immaterial now

CST deductions

Telecommunication companies on November 26, 2019 stopped the upfront deduction of the Communication Service Tax (CST).

In a statement, the Telecommunications Chamber said it will complete the reconfiguration of its systems to accommodate the commercial and technical requirements for the cessation of the deductions.

Chief Executive of the Chamber Ken Ashigbey in a radio interview said the CST will be embedded in the tariffs.

"...Due to finish this work by Tuesday the 26 of November, we are hoping that we will complete the configuration, and we can migrate from the upfront deduction to taxing it through the tariff, what it will mean it that now the 9% CST will be embedded within the tariffs so if they are products selling at 1gh the effect of the tariff will be like 7% so that 7% will be added to the original cost of the product so that it will the cost of the service plus the taxes."

READ ALSO : Communications Minister sued for ordering telcos to cease upfront CST deductions

Following the implementation of the CST, the Communications Ministry accused the mobile telecommunications companies of milking consumers over their mode of charging.

According to the sector Minister, Ursula Owusu-Ekuful, all efforts to get the telcos to revert to the situation before the increment has failed as telcos “exact their pound of flesh from their consumers.”

“The Ghana Chamber of Telecommunications wishes to notify mobile and fixed subscribers that effective Tuesday 26th November 2019, Telecommunications Operators will cease upfront deductions of 9%CST charge and apply the tax through a tariff adjustment on their products and services. Following our agreement with the government to apply the 9% CST as a price increase instead of as an upfront deduction on recharge. The reconfiguration of our systems to accommodate the commercial and technical requirements is due to be completed by the 26th of November 2019. This will offer customers a smooth transition and a better experience”, the statement said.

READ ALSO : Report telcos that still deduct CST upfront – Gov’t to Ghanaians