President John Dramani Mahama has signed the COVID-19 Health Recovery fee Repeal Act, 2025, which confirms the repeal of the 1% fee imposed during the epidemic.
The repeal, signed on Wednesday, December 10, takes effect in January 2026 and completes the government’s strategy to phase out taxes that it considers burdensome to people and enterprises. Parliament authorized the repeal in November as part of a larger drive to reduce living costs and restructure the tax system.
The charge, imposed in March 2021 by the COVID-19 Health Recovery charge Act (Act 1068), was applied to the value of taxable products, services, and imports, except VAT-exempt items.
After COVID-19 severely stretched public finances, the tax was established to fund pandemic-related spending, bolster health systems, and assist in rebuilding budgetary buffers.
As economic conditions worsened over time, public clamor for its removal grew more intense. Many Ghanaians contended that the fee had outlived its usefulness, pointing out that it raised prices for goods and services without a direct connection to the country’s continued COVID-19 needs.
Source:Mybrytfmonline.com/Joseph Asare
