COVID-19 levy to be abolished by end of 2025 – Deputy Finance Minister

The Deputy Finance Minister, Thomas Nyarko Ampem, has assured that the COVID-19 levy is expected to be abolished by the end of the year.

According to him, the tax would be considered alongside the Valued Added Tax (VAT) rationalisation process that President Mahama’s administration promised to repeal.

In an interview with Joy News, the Deputy Finance Minister said President Mahama’s government is committed to abolishing all nuisance taxes. The Electronic Transaction Levy (E-levy) and the betting tax have already been scrapped.

Responding to a question whether more taxes will be abolished, Mr. Nyarko Ampem, said “at this time it would be difficult to make any promises but as the economy picks up, we wouldn’t mind to repeal taxes”.

“The COVID-19 levy will be considered alongside the VAT rationalisation process that we have been committed to do. So, when that process is done, I believe the COVID [levy] would also be removed. I’m looking at towards the end of the year if we are able to finish the rationalisation processes, we would be able to do that.”

He added that President Mahama means everything he said in the ruling National Democratic Congress’s (NDC) manifesto.

“So, we are working towards the rationalisation of all these promises he made”.

In the 2025 Budget, the government promised to reform the VAT system by removing the COVID-19 Health Recovery Levy, treating health and education levies as VAT, and reducing eligible VAT-registerable traders.