The government has announced a complete removal of the COVID-19 Health Recovery Levy as part of the 2026 Budget presented to Parliament. The levy repeal is one of the key tax policy changes highlighted by the Minister for Finance during the budget presentation on Thursday, November 13, 2025.
The levy, which was introduced to support pandemic-related health expenditure and help stabilize public finances during the COVID-19 era, had been applied as a 1% charge on the VAT rate. Its elimination marks a shift away from emergency-era taxation, signalling government’s confidence in Ghana’s fiscal recovery and the improved stability of the health sector.
The repeal is expected to ease the overall tax burden on consumers and businesses, with the cost of goods and services projected to decline slightly once the changes take effect. Government believes the removal will boost spending power, encourage business activity, and support economic momentum under the broader agenda of resetting the economy for growth and job creation.
The COVID-19 Levy (Repeal) Bill is among several legislative instruments the Minister has laid before Parliament for approval as part of the 2026 fiscal measures.
