MultiChoice Ghana has had a profitable court docket ruling in a case in Kumasi about an individual caught promoting illegally MultiChoice Nigeria decoders in Ghana. The convicted individual, Emmanuel Addae, was raided and arrested in Kumasi in 2019 following a tip-off. He was convicted on Friday, nineteenth August 2022, and sentenced to pay Ghc 12,000 or, in default, to serve one 12 months in jail. He couldn’t bear the high-quality instantly and thus has been processed to serve his time period of imprisonment.
In response to Alex Okyere, Managing Director, MultiChoice Ghana, “the actions of such individuals available on the market contravenes the Digital Communications Act and quite a lot of importation and tax legal guidelines in Ghana”. He explains MultiChoice Ghana is the one firm in Ghana with the particular license to import and distribute DStv decoders throughout the nation.
He added, “MultiChoice Ghana has been working with the Ghana Police Service and different safety businesses to trace and raid individuals concerned in promoting MultiChoice Nigeria decoders on the Ghanaian market, highlighting there are a number of such instances below investigation and awaiting trial.” He concluded that extra raids of such nature can be carried out within the close to future.
By legislation, all month-to-month DStv subscriptions paid in Ghana ought to entice the next taxes 2.5% NHIL, 1% Covid-19 Levy, 2.5% GetFund and 5% CST. Worth Added Tax (12.5% VAT) is a tax utilized on the worth added to items and companies at every stage within the manufacturing and distribution chain. It kinds a part of the buyer’s closing value for items or companies. The Nationwide Well being Insurance coverage Levy (NHIL) is a levy on items and companies equipped in or imported into Ghana.
All items and companies are topic to the levy except they’re exempt. The Communications Service Tax (CST) is a tax levied on costs for the communications service operators’ use of communications companies. CST is imposed below Part 1 of the Communications Service Tax Act 2008, (Act 754).
These DStv decoders from Nigeria are smuggled into the nation, denying the nation requisite import duties, then are bought to the unsuspecting public by these unscrupulous individuals. The acquisition and use of such decoders make one an adjunct to tax evasion as your month-to-month subscriptions are paid in Nigeria, thus avoiding the cost of tax in Ghana.
In response to Part 86 and 149 of the Ghana Income Act, an individual who enters a contract with a non-resident individual for the provision or use of products or property of any variety, or the provision of any companies, which contract provides rise to earnings accruing in or derived from Ghana, shall pay taxes on that service or good. Failure to Pay Tax is liable to abstract conviction, of imprisonment for a time period of not lower than three months and never multiple 12 months, or each.
Through the raid, ledgers with accounts and private particulars of individuals they had been illegally accumulating subscriptions from and a number of other packing containers of decoders had been seized. MultiChoice Ghana urges anybody who might have acquired such decoders to contact the closest MultiChoice Ghana Workplace to have their decoder regularized.