Finance Minister Dr. Cassiel Ato Forson has announced the abolition of several taxes, including the controversial betting tax, e-levy and emission levy, as part of the 2025 Budget presentation in Parliament.
He emphasized that these tax cuts are aimed at easing the financial burden on households, increasing disposable income, and supporting business growth.
He announced the removal of the 10% withholding tax on lottery winnings, the VAT on motor vehicle insurance policies, and the 1.5% withholding tax on unprocessed gold by small-scale miners.
“We will abolish the e-levy, the betting tax, the emission levy, and the COVID-19 levy,” Dr. Forson stated.
“The removal of these taxes will ease the burden on households and improve their disposable incomes. In addition, it will support business growth and improve tax compliance.”
The COVID-19 levy is set to be reviewed as part of the government’s fiscal reforms.
Finance Minister Dr. Cassiel Ato Forson announced that a dedicated task force would be established to assess the tax and engage stakeholders on its future. “I will inaugurate a V80 Reform Taskforce to hold broad consultations with key stakeholders for their input. Their priorities will include abolishing the COVID levy. This will be completed this year,” he stated.
He further disclosed that the government would amend the Mineral Income and Investment Act to ensure that 80% of royalties are transferred to the Consolidated Fund for infrastructure development.
Beyond tax reforms, Dr. Forson revealed that the government would implement the Labour Act and Ghana Investment Promotion Act reforms to create a more enabling business environment.
He also highlighted the introduction of free sanitary pads for schoolgirls and a strategic shift in the energy sector, stating, “We will implement the liquid fuel to gas swap through an increase in gas supply from 60mnsc to 100mnsc to take advantage of cheaper gas prices.”
These initiatives, he noted, are part of the government’s broader vision to foster economic transformation and improve living conditions for Ghanaians.