COVID-19 Levy Officially Scrapped as President Mahama Assents to Repeal Act

COVID-19 levy officially scrapped as President Mahama assents to repeal act with immediate effect.

In a significant fiscal policy shift, President John Dramani Mahama has officially signed into law the COVID-19 Health Recovery Levy Repeal Act, 2025, effectively scrapping the 1% levy imposed on goods, services, and imports during the height of the pandemic.

The COVID-19 Health Recovery Levy was introduced in 2021 as part of measures to mobilize funds for managing the public health crisis and supporting economic recovery efforts.

However, the levy had long been a subject of public debate, with many businesses and citizens calling for its removal as the country gradually transitioned out of the pandemic era.

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According to government sources, the repeal forms part of broader efforts to ease the tax burden on citizens and stimulate economic growth.

Finance analysts have welcomed the move, noting that the removal of the levy is likely to improve the cost of doing business, reduce inflationary pressures, and bring relief to consumers.

Speaking after assenting to the repeal, President Mahama emphasized the importance of restoring economic confidence and supporting Ghanaian households and businesses still recovering from the pandemic’s impact.

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“This is a step toward building a more inclusive and growth-driven economy,” he said.

The Ghana Revenue Authority (GRA) is expected to issue updated guidelines to businesses and the general public regarding the implementation of the repeal and the removal of the levy from transactions nationwide.

With this development, traders, service providers, and importers will no longer be required to charge or pay the 1% COVID-19 levy with immediate effect.