The COVID-19 levy’s repeal is part of the 2026 Budget, which also includes VAT changes approved by parliament but not yet enacted.
Ghana’s President John Dramani Mahama signed the COVID-19 Health Recovery Levy Repeal Act 2025 into law on 10 December 2025, ending the 1% levy on goods, services, and imports from January 2026.
The repeal fulfills a key campaign promise, as the President had repeatedly described the tax as unfair and unnecessary, given that the pandemic had already ended.
He highlighted that Ghana was the only country still imposing a levy to recover COVID-related costs and stressed his commitment to removing this widely unpopular tax.
The abolition of the levy was part of broader measures outlined in the 2026 Budget, which also includes several VAT-related changes approved by parliament but not yet signed into law.
Earlier, on 27 November 2025, Ghana’s Parliament passed the Value Added Tax 2025 Bill to update and consolidate VAT regulations. It eliminates several taxes, such as those on gambling, the E-Levy and the COVID tax, as part of the 2025 Finance Bill in an effort to relieve financial pressure on households and stimulate economic activity.
