Government announces removal of 5 nuisance taxes in 2025 budget

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In a major tax relief move, Finance Minister Dr. Cassiel Ato Forson has announced the removal of five “nuisance taxes”, including the E-Levy and Betting Tax, as part of the 2025 Budget presented to Parliament on March 11, 2025.

Dr. Forson stated that this decision aligns with the government’s manifesto promise to ease financial pressure on citizens and businesses, while still working to increase non-oil tax revenue under the IMF-supported program.

Nuisan

The five nuisance taxes to be scrapped include:

  • 10% Betting Tax (withholding tax on lottery winnings)
  • 1% E-Levy (Electronic Transfer Levy)
  • Emission Levy (on industries and vehicles)
  • VAT on motor vehicle insurance policies
  • 1.5% withholding tax on unprocessed gold winnings (for small-scale miners)
Nuisan

The Finance Minister emphasized that eliminating these taxes will boost disposable income, encourage business growth, and improve tax compliance.

Additionally, he revealed that GHS 16.6 billion from the Tax Refund Account had been misused over the past eight years, violating the Revenue Administration Act, 2016 (Act 915) and the Public Financial Management Act, 2016 (Act 921). To prevent further misuse, the tax refund ceiling will be reduced from 6% to 4% of total revenue.

Nuisan

This tax reform is expected to stimulate economic activity and reduce the cost of living for Ghanaians.

Author

  • Nuisan

    Abraham Kofi Amudzegbe is a Level 300 Nursing student at the University
    of Ghana, Legon, an author, student leader, and youth advocate with a
    strong passion for public service, leadership, and student empowerment.
    Through his writing, he explores topics related to education, youth
    development, leadership, health, and social impact, contributing
    meaningful perspectives on issues that affect students and young people.

    As an author at Insight Ghana, Abraham leverages his strong communication
    and research skills to produce informative and thought-provoking content.
    His work reflects a commitment to advocacy, public engagement, and
    fostering conversations that inspire positive change within society.

    Abraham currently serves in several leadership capacities, including
    Vice President of the Volta Region Students Association (VORSA Legon),
    Public Relations Officer (PRO) of the University of Ghana Nursing and
    Midwifery Students Association (UGHANMSA), Deputy Head of the Business
    and Political Chamber of PENSA Legon, Public Relations Officer (PRO) of
    the Oti Region Students Association (ORSA), and a Member of the
    University of Ghana Parliament House.

    Over the years, he has led and supported numerous student-centered
    initiatives, including academic tutorials, mentorship programmes,
    welfare interventions, and advocacy campaigns aimed at improving the
    student experience and promoting collective growth.

    As an aspiring President of the University of Ghana Students'
    Representative Council (UGSRC) for the 2026/2027 academic year,
    Abraham seeks to champion a vision centered on student welfare,
    accountability, inclusiveness, innovation, and effective representation.

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Abraham kofi Amudzegbe

Abraham Kofi Amudzegbe is a Level 300 Nursing student at the University of Ghana, Legon, an author, student leader, and youth advocate with a strong passion for public service, leadership, and student empowerment. Through his writing, he explores topics related to education, youth development, leadership, health, and social impact, contributing meaningful perspectives on issues that affect students and young people.

As an author at Insight Ghana, Abraham leverages his strong communication and research skills to produce informative and thought-provoking content. His work reflects a commitment to advocacy, public engagement, and fostering conversations that inspire positive change within society.

Abraham currently serves in several leadership capacities, including Vice President of the Volta Region Students Association (VORSA Legon), Public Relations Officer (PRO) of the University of Ghana Nursing and Midwifery Students Association (UGHANMSA), Deputy Head of the Business and Political Chamber of PENSA Legon, Public Relations Officer (PRO) of the Oti Region Students Association (ORSA), and a Member of the University of Ghana Parliament House.

Over the years, he has led and supported numerous student-centered initiatives, including academic tutorials, mentorship programmes, welfare interventions, and advocacy campaigns aimed at improving the student experience and promoting collective growth.

As an aspiring President of the University of Ghana Students' Representative Council (UGSRC) for the 2026/2027 academic year, Abraham seeks to champion a vision centered on student welfare, accountability, inclusiveness, innovation, and effective representation.