Thomas Nyarko Ampem, the deputy minister of finance, has reiterated that the government’s decision to do away with the betting tax and e-levy is consistent with the administration’s campaign pledges.
Mr. Ampem gave Ghanaians the assurance that the elimination of these taxes would be reflected in the national budget, which is set to be announced on March 11, during an interview on Channel One TV on Monday, March 3, 2025.
His remarks come after President John Dramani Mahama repeatedly promised to do away with the fees, which have drawn harsh criticism from both individuals and businesses.
“The President has made it clear that he will deliver on the promises he made to Ghanaians. That includes removing the e-levy and betting tax,” Mr Ampem said.
He clarified that as an alternate source of funding, the administration had located a VAT revenue deficit and will endeavor to address it.
“The medium-term revenue strategy estimates that we have a 61% VAT gap, meaning we are collecting only 39% of our potential VAT revenue. By improving tax collection, we can make up for the revenue shortfall from removing these levies,” he continued.
When the e-levy was first implemented in 2022, it levied 1.5% on electronic transactions and mobile money. Later, it was lowered to 1%.
It was strongly opposed by the public, who said that it hindered digital transactions and added to the burden on low-income taxpayers.
Introduced in 2023, the betting tax levied a 10% withholding tax on all winnings from gaming, lottery, and betting.
Source: newsthemegh.com