By: Ashiadey Dotse
President John Dramani Mahama has signed into law the COVID-19 Health Recovery Levy Repeal Act, 2025, officially removing the 1% tax on goods, services and imports on Wednesday December 10, 2025 at the Jubilee house in Accra.
The levy, introduced March 31, 2021 to support Ghana’s recovery during the COVID-19 pandemic, had been applied on top of VAT, NHIL and GETFund charges. The scrapping of the policy follows parliamentary approval last month as part of government efforts to eliminate what it calls “nuisance taxes” and ease the cost of living.
With the President’s approval, the removal of the levy will take effect from January 2026. Government believes this step will bring relief to businesses and consumers by reducing the overall expense on goods and services
The COVID-19 levy was first introduced under Act 1068 and has remained in effect for four years. The repeal is one of several tax reforms the government says will support economic activity and improve household spending power.
