The Ghanaian government has announced plans to abolish several taxes, including the Electronic Transaction Levy (E-Levy) and the 10% tax on lottery winnings, popularly known as the betting tax. This decision was disclosed by Finance Minister Dr. Cassiel Ato Forson while presenting the 2025 Budget Statement to Parliament on March 11.
According to Dr. Forson, the removal of these taxes aligns with the government’s commitment to easing financial burdens on citizens and businesses. Other levies set for cancellation include the Emissions Tax and the Value Added Tax (VAT) on motor vehicle insurance policies. Additionally, the government intends to review the VAT system and eventually scrap 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% tax on winnings from the lottery,” Dr. Forson stated.
In a move expected to benefit Ghana’s mining industry, particularly small-scale operators, the government will also eliminate the 1.5% withholding tax on processed gold for small-scale miners.
The Finance Minister emphasized that these tax removals aim to reduce the financial strain on households, enhance disposable income, support business growth, and improve tax compliance across various sectors. However, he did not specify when these changes would take effect.
With these reforms, the government seeks to create a more favorable economic environment, allowing individuals and businesses to thrive while encouraging voluntary tax compliance.
