MINISTRY OF COMMUNICATIONS
P. 0. BOX M.38
ACCRA
Incase of reply the number and
date of this letter should be quoted
Tel No: #233-(0)30-266-6465
Fax No! +233-(0)30-266-7114
Digital Address: GA 079-0539
Republic of Ghana
My Ref, No:SCA [it 122]9,34 [om
Your Ref. No:
9 October, 2019
THE DIRECTOR GENERAL
NATIONAL COMMUNICATIONS AUTHORITY
ACCRA
ATTN: Mr. Joe Anokye
Dear Sir,
DIRECTIVES ON COMMUNICATION SERVICE TAX (CST) IMPLEMENTATION
We must emphasise the fact that CST was increased from the existing rate of 6% to 9% effective
4t September, 2019. The tax has been in existence since 2008 and was increased to provide
revenue for cyber security initiatives to protect the digital infrastructure and policies being used by
both the public and private sector.
At the series of meetings held between the Ministry of Communications, Mobile Network Operators
(MNOs) and the NCA on 7" and 8" October, 2019, we were informed that prior to 4” Septembet
3019, MNOs had not been passing on the CST to subscribers but had decided to take advantage of
the 3% increase to pass on the entire tax to subscribers. This has effectively increased their profit
margin at the expense of subscribers.
All efforts to get them to revert to the September 2019 situation has failed as they literally exac
their pound of flesh from their consumers.
To minimize the negative impact of the current mode of deduction of the CST, the Ministry
Communications hereby directs the immediate implementation of the following measure:
1. CST should be treated the same way VAT,NHIL, GETFUND levy and all other taxes and levie
imposed on entities doing business in Ghana are treated. This extraordinary upfron
deduction of CST and notification of same to subscribers must stop with immediate effect.
2. All unused data and voice bundles purchased by subscribers do not expire and must b
rolled over with the next recharge.
3, MNOs will be subjected to strict compliance with exiting Quality of Service (QoS) standarc
to ensure value for the subscribers’ money in accordance with their licence obligations.Kindly ensure that these measures take immediate effect.
Tam counting on your usual prompt cooperation in this regard.
Yours sincerely,
4
MRS. URSULA OWUSU-EKUFUL (MP)
MINISTER
Distribution list
Hon. George Nenyi Andah
Deputy Minister for Communications
Hon. Vincent Sowah- Odotei
Deputy Minister for Communications
The CEO
MIN
The CEO
Vodafone
The CEO
AirteiTigo
The CEO
Glo
The Commissioner General
Ghana Revenue Authority (GRA)