Accra: In a significant move aimed at easing the financial burden on households and businesses, the government has announced plans to abolish several taxes in the 2025 budget. Finance Minister, Dr. Cassiel Ato Baah Forson outlined the tax cuts during his budget presentation in Parliament on Tuesday. He emphasized the positive impact these measures will have on disposable incomes and business growth.
According to Ghana News Agency, Dr. Forson announced the abolition of the 10 percent withholding tax on lottery winnings, commonly referred to as the 'Betting Tax.' Additionally, the government plans to abolish the 1 percent Electronic Transfer Levy (E-Levy), the Emission Levy on industries and vehicles, the VAT on motor vehicle insurance policies, and the 1.5 percent withholding tax on unprocessed gold winnings by small-scale miners.
The removal of these taxes is intended to ease the burden on households and improve their disposable incomes. Dr. Forson reiterated that these measures will support business growth and enhance tax compliance. This initiative is part of the government's broader efforts to address the country's economic challenges.
The 2025 budget, presented in accordance with Article 179 of the 1992 Constitution, focused on economic recovery and growth, with a projected total revenue and grants of GHS42.54 billion.
