Finance Minister Dr. Cassiel Ato Forson has announced the government will eliminate the COVID-19 health recovery levy as part of significant Value Added Tax reforms. He stated that the changes, designed to simplify the tax system and support businesses, also include ending the decoupling of the GETFund and National Health Insurance levies from the VAT base.
Dr. Ato Forson explained that the reforms follow extensive analysis and stakeholder consultations. The measures will lower the effective VAT rate and increase the registration threshold for the tax.
He acknowledged that the levy's removal was a pledged part of President John Dramani Mahama's social contract. Its implementation was delayed due to requirements linked to the country's International Monetary Fund program.
Dr. Ato Forson explained that the reforms follow extensive analysis and stakeholder consultations. The measures will lower the effective VAT rate and increase the registration threshold for the tax.
He acknowledged that the levy's removal was a pledged part of President John Dramani Mahama's social contract. Its implementation was delayed due to requirements linked to the country's International Monetary Fund program.
