CAMA Threatens To Go On Streets If Govt Impose 1% Tax Fee on Mobile Money Transactions

CAMA Threatens To Go On Streets If Govt Impose 1% Tax Fee on Mobile Money Transactions

By : Lovemore Khomo

Consumers Association of Malawi-CAMA says it will not let government impose indecisive tax fee on every mobile money transactions made by citizens.

CAMA Executive Director John Kapito has said the mobile money transactions is made to touch socio-economic gains of the poor henceforth no need for a tax.

This development comes following a clearly scrutiny of the National Budget presented by Finance Minister Joseph Mwanamveka in Parliament a fortnight ago.

Kapito discloses that the tax arrangements into the budget, government wanted it be secret as very few people and stakeholders had to see it through. “It is disgraceful because this tax is found inside the budget and no more people can see it. They were so clever in dealing with it.”

He adds: “It is a against a loom that we have been championing for. It is against fairness to the poor citizenry.”

The consumer rights activist gave an example of Uganda and Zimbabwe where their law makers had passed mobile money transactions tax laws, then later was stop because they knew it would cripple business. “Now these countries have not imposed these taxations.”

“If these taxes imposed will start crippling on poor people and they will all lose jobs. Government has betrayed it’s people as agents working on Mpamba and Airtel money still earn less,” explains Kapito.

Furthermore, Kapito expressed concern that even Reserve Bank of Malawi did not know about this issue as it was surprised to see appearing into the budget.

On the other hand, no consultations were done before coming up with these taxes as mobile money transactions in Malawi has over 40, 000 agents who are employed and relies on it.

Out of 18 million citizens, 7 million are registered with mobile money transactions in the name of Mpamba and Airtel money.

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