President John Dramani Mahama has signed into law a series of bills that officially repeal the Electronic Transactions Levy (E-Levy), the Betting Tax, and the Emissions Levy, fulfilling a major campaign promise aimed at easing the financial burden on Ghanaians.
The scrapped levies collectively generated over GH¢3.5 billion annually, with the E-Levy alone accounting for a significant portion of that revenue.
In response to concerns about potential revenue shortfalls, Finance Minister Dr. Cassiel Ato Forson stated that the government will implement alternative strategies, including expanding the tax base, improving tax compliance, and attracting foreign investments to offset any fiscal gap.
The repeal has drawn mixed reactions from economic analysts and opposition leaders.
While many citizens and business owners have welcomed the move, the New Patriotic Party (NPP) argues that scrapping these levies could widen Ghana’s budget deficit unless well-structured alternatives are introduced.
Economic analyst Dr. Kwame Osei warned that “while removing these taxes provides relief, the government must outline clear strategies to maintain fiscal stability.”
Meanwhile, digital payment platforms and betting companies have applauded the decision, citing expected increases in transaction volumes.
According to the Ministry of Finance, the tax removals take effect from May 1, 2025, allowing businesses and financial institutions time to adjust their systems.
The Ghana Revenue Authority (GRA) has also been directed to issue updated tax guidelines to ensure a smooth transition.
The government has hinted at upcoming tax policy reforms aimed at shifting Ghana’s reliance from indirect levies to broader economic growth strategies. Further details are expected in the mid-year budget review in July.
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By: J.W Quarm
