FOR IMMEDIATE RELEASE

NOTICE OF EFFECT OF INCREASE IN COMMUNICATION SERVICE TAX ON

TELECOMMUNICATION CHARGES FOLLOWING THE AMENDMENT OF THE
COMMUNICATIONS SERVICE TAX (CST), ACT 754
Accra, September 20, 2019 – 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 the increase in Communication Service Tax. The government as part
of the 2019 mid-year budget review amended the Act referenced above increasing CST
from six per cent to nine per cent. CST as specified in Act 998 is a consumer tax and will
thus have to be borne by consumers. This will require modifications of what customers pay
in total for communication services.

The objective of the increase as detailed in the mid-year budget is to “develop the
foundation for the creation of a viable technology ecosystem in the country. This will
comprise amongst others putting in systems to identify and combat cybercrime, protect users
of information technology and combat money laundering among other financial crimes”.

Our members, as responsible corporate entities, would comply fully with Ghana’s laws. As
intended, the incidence of the modification will thus be on consumers. It will impact the
cost of telecommunication services.

Here is a brief explanation of the implications on consumers. CST, which is now at 9%, will
be applied to any recharge purchase. For every GH¢1 of recharge purchased, a 9% CST fee
will be charged leaving GhS0.91 for purchase of products and services..

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Customers of telecommunication services would be notified by their service providers of
the changes when they purchase recharge and / or products and services. The
implementation of this new format of applying the CST will start on the 1st of October 2019

The telecommunications industry remains committed to full transparency and
accountability to both the Government of Ghana and its customers, and it seeks the support
and understanding of its customers through the implementation of the increased CST and
its implications to telecommunications services and charges.

Signed

Ing. Kenneth Ashigbey
Chief Executive Officer
Ghana Chamber of Telecommunications


Editors Note
About the Telecoms Chamber
The Ghana Chamber of Telecommunication is an industry association and a private
initiative by the mobile network operators in Ghana. We are an advocacy institution
established to help direct telecommunications policy, legislation and regulation, and
pursue research towards the development of telecommunications.
As the voice of the mobile operators and tower companies in Ghana, we work through
direct engagements with government (institutions), civil society, key stakeholders and
consumers to shape the mobile ecosystem and maximize the socio-economic benefits of
mobile in Ghana. The Chamber was registered in 2010 and inaugurated in 2011.

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