Ghanaians have expressed excitement following the repeal of the controversial emissions levy bill, the electronic transfer levy, and the betting tax on April 2, 2025.
The removal of these taxes, according to the government, is to ease the burden on households and improve their disposable income and improve tax compliance.
The emissions tax, introduced in 2024, faced significant opposition from the public and various stakeholders who argued that it placed an additional financial burden on citizens.
Background
The Emissions Levy Act, 2023 (Act 1112) was passed in 2024. This levy required Ghanaians to pay an annual levy for the carbon emissions produced by their petrol or diesel-powered vehicles “to promote the use of eco-friendly technology and green energy”.
The Levy ranged from 75 Ghana cedis for motorised tricycles and motorcycles to 300 cedis for vehicles with a capacity of 3,000cc or higher.
Among other taxes were the popular E-levy bill imposed in 2022, under which Ghanaians were required to pay a 1.5% levy on all electronic transfers – mobile money transfers and bank transfers.
The levy, according to the government, was meant to enhance domestic tax mobilisation and expand the tax base. Again, it was to provide an opportunity for everyone to contribute towards national development.
This change threw the country into a state of uproar, as Ghanaians vented their anger and frustration on the government. They believed it was an ‘unnecessary financial burden placed on them’.
Abolishing the Emissions Tax
Among other ‘nuisance taxes’, the government repealed the emissions tax on Wednesday, April 2, 2025, following the 2025 national budget reading.
During parliamentary debates on the repeal bill, Deputy Finance Minister Thomas Nyarko Ampem highlighted the financial relief the move brings to Ghanaians.
Car users have now heaved a heavy sigh of relief as they will no longer be paying exorbitant amounts annually in the name of taxes.
Social media users have not been left out in this conversation as they have also expressed their sentiments in this regard.
Immediately the President assented to repealing the emissions tax among others, social media went agog with social media users expressing their joy and satisfaction with this move, praising the government.
Meanwhile, others are of the opinion that this move was unnecessary, as the government still needs money to cater to a lot of national needs. An excited user wrote, “Ghana is alive again,” while another wrote, “Finally, this burden is no more on us.”
“What a time to be Ghanaian!” an Instagram user wrote in the comments under a post announcing the repeal.
