Canceling E-Levy, COVID Tax: Don't use backdoor approach to increase existing taxes – NPP MP

The Member of Parliament for Akim Swedru, Kennedy Osei Nyarko, has issued a caution to the ruling government ahead of the budget presentation by the Minister of Finance.

The lawmaker cautioned the government to refrain from resorting to unconventional methods, such as increasing existing taxes or reintroducing old taxes, to generate revenue.

He stated that he expects the government to reduce its expenditures in order to save revenue and fill the gaps that may arise if several taxes are scrapped.

“We expect the NDC government to cut its expenditures to save enough to fill any revenue losses instead of using any backdoor approach in increasing certain existing taxes and also re-introduce some old taxes,” he said in a Facebook post on Tuesday, March 11, 2025.

The New Patriotic Party (NPP) politician referenced how the party, under the leadership of Dr. Mahamudu Bawumia, the 2024 presidential candidate, provided extensive details and plans in their 2024 manifesto.

According to him, these outlined the measures they would adopt to address any revenue losses or gaps resulting from their promise to abolish certain controversial taxes, including the E-Levy, COVID-19 Levy, and the Betting Tax.

He further said that the NPP had also promised to reduce government expenditure if they had won power. He claimed that this approach would have saved the country GH¢30 billion over a period of four years.

He, therefore, called on the government to be transparent about how it intends to compensate for revenue losses, similar to how the NPP explicitly outlined their plans in their manifesto, should they decide to abolish certain taxes.

“The NPP, in their 2024 manifesto, provided details of how it was going to fill the revenue hole after removing the E-Levy, COVID Levy, Betting Tax, etc.

“The NPP promised to cut government expenditures by 3%, which was going to save the country GH¢30 billion within the 4-year period. This expenditure cuts would have been enough to fill the 7 billion annual revenue loss,” he concluded.

The Minister of Finance is expected to announce the cancellation of some taxes including the E-Levy tax in the budget presentation on March 11, 2025.

MAG/AE

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