Ursula Owusu dragged to court for ordering telcos to cease upfront 9% CST deductions

Ursula Owusu dragged to court for ordering telcos to cease upfront 9% CST deductions

Minister of Communications, Ursula Owusu-Ekuful has been dragged to court for ordering telcos to stop the upfront deductions of the 9% Communications Service Tax (CST).

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She was sued together with the Attorney General and the Mobile Telecommunications Networks by Dzifa Gunu.

Dzifa Gunu, in his writ, argued that Ursula's directive to the telcos to stop the upfront deductions made from purchased airtime is an interference with his right to information as a consumer or subscriber.

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Ursula Owusu on October 11, 2019, ordered the telcos, through the National Communications Authority, to cease the instant deductions of the tax.

The complainant argued in his statement that the proper institution to issue an administrative order on how tax policy should be implemented is the Ghana Revenue Authority and not the minister.

He, therefore, prayed the court to immediately order the minister of communications to reverse the directive that service providers should stop notifying subscribers of the deductions made from airtime as Communications Service Tax.

READ ALSO: Upfront CST deduction to be stopped on November 26

In other news, Mobile network operators say they will from November 26 stop the upfront deduction of the 9 percent communication service tax.

The decision follows a series of consultations with the regulator, the National Communications Authority (NCA) as well as tax authorities.

According to a statement issued by the Ghana Chamber of Telecommunications, the telecommunications companies will require a number of weeks to reconfigure their systems to stop the upfront deductions.

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Source: Yen.com.gh

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