By Francis Kobena Tandoh
The Ghanaian government on Tuesday announced it will be abolishing the Electronic Transaction Levy (E-Levy), the 10 percent tax on lottery winnings locally known as the betting tax and the emission tax on vehicles.
Finance Minister, Dr. Cassiel Ato Forson made the announcement during the presentation of the 2025 Budget and Economic policy of the John Mahama-led administration before the country’s Parliament in the Ghanaian capital of Accra.
The minister announced the cancellation of other levies including the Emission tax which the driving public complained during the tenure of the previous administration led by Nana Addo Dankwa Akufo-Addo.
He also announced that in an attempt to review the Value Added Tax (VAT) system, the government will eventually abolish the COVID-19 levy.
“We have programmed the following taxes for removal in line with our manifesto promises. Mr. Speaker, we will abolish the 10 percent tax on winning from lottery. The government will also eliminate the 10 percent withholding tax on betting, the emission levy, and the VAT on motor vehicle insurance policies,” said Dr. Forson.
The finance minister further revealed plans to scrap the 1.5 percent withholding tax on gold for small-scale miners, which according to him will ease the burden on households.
He added, “The removal of these taxes will ease the burden on households and improve their disposable income. It will support business growth and improve tax compliance.”
This is the maiden budget of President John Dramani Mahama who won the 2024 general election in the West African country, defeating his main contender, Dr. Mahamudu Bawumia, then sitting Vice President.
