The government has announced plans to abolish several taxes in the 2025 Budget, a move aimed at reducing the financial burden on households and businesses.
Presenting the budget statement in Parliament, Finance Minister Dr. Cassiel Ato Forson outlined the proposed tax cuts, emphasizing their potential to boost disposable incomes and stimulate business growth.
“Mr. Speaker, we will abolish the 10% withholding tax on winnings from lottery, otherwise known as the ‘Betting Tax’; we will abolish the Electronic Transfer Levy (E-Levy) of 1%; we will abolish the Emission Levy on industries and vehicles; we will abolish the VAT on motor vehicle insurance policy; and we will abolish the 1.5% withholding tax on winning of unprocessed gold by small-scale miners,” Dr. Forson announced.
He further stressed that scrapping these taxes would provide relief to Ghanaians while enhancing business operations and tax compliance.
“Mr. Speaker, 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,” he stated.
The tax cuts signal a major shift in the government’s fiscal strategy, with policymakers expected to outline alternative revenue measures in the coming months.
