Ghana Abolishes IMF-Linked Taxes Citing Economic Strain on Citizens

Ghana’s government has abolished several taxes linked to IMF financing, citing economic hardship for citizens. Finance Minister Cassiel Ato Forson announced the cancellation of five taxes, including a mobile money transfer levy and a VAT on vehicle insurance, during the 2025 budget presentation.

The government of Ghana has decided to eliminate several taxes that were enacted during the Covid-19 pandemic in order to facilitate financing from the International Monetary Fund (IMF). Citing the economic burden these taxes have placed upon citizens, the government termed them as “nuisance levies.” Finance Minister Cassiel Ato Forson announced the cancellation of five specific taxes, which include a one-percent levy on mobile money transfers and a value-added tax on motor vehicle insurance, during the presentation of the country’s 2025 budget.

In conclusion, the Ghanaian government has recognized the detrimental impact of certain Covid-era taxes on its citizens and has taken steps to alleviate this burden by scrapping them. The decision reflects a commitment to easing the financial strain on ordinary Ghanaian citizens while also revising the nation’s tax policies post-pandemic.

Original Source: www.djournal.com