Dr Cassiel Ato Forson is the Minister of Finance
The Minister of Finance, Dr Cassiel Ato Forson, has announced the abolishment of the COVID-19 levy as part of new VAT reforms to be considered in October.
According to him, the Ministry of Finance is preparing a new VAT bill to be ready by October 2025 and submit the same to Parliament as part of the 2026 Budget Statement.
Speaking during the presentation of the 2025 Mid-Year Budget Review on July 24, 2025, he noted that under the new VAT reforms:
1. COVID-19 Levy will be abolished;
2. The effective VAT rate will be reduced;
3. The cascading effect of the GETFund and NHIS levies will be removed;
4. VAT flat rates will be removed
5. Unified VAT rate will be implemented;
6. The VAT registration threshold will be increased to exempt small and micro businesses; and
7. Compliance will be improved through public education and the introduction of fiscal electronic devices.
The country’s Financial Administration Act mandates the budget review.
It aligns with Section 28 of the Public Financial Management Act, 2016 (Act 921) which requires the Finance Minister to update Parliament on the execution of the national budget and outline the fiscal strategy for the remaining half of the year.
SSD/AME
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