Information reaching BigFamily News indicates that President John Dramani Mahama has officially enacted the amended bills that eliminate the Electronic Transfer Levy (E-Levy), Betting Tax, and Emissions Levy, fulfilling a significant promise from his campaign.
This decision was finalized on April 2, 2025, following the earlier approval of a resolution in parliament to repeal these taxes. On March 26, 2025, parliament voted to endorse the repeal of the Electronic Transfer Levy Act, 2022 (Act 1075). Mirroring the expedited process used for the initial passage of the law in 2022, the House conducted the repeal under a Certificate of Urgency on Wednesday, allowing for a swift completion of the second reading, consideration, and third reading stages.
During the second reading stage, the Majority Leader, Mahama Ayariga, referenced an observation made by the Finance Committee, noting that repealing the law would effectively return GH¢2 billion to Ghanaian citizens in the form of increased disposable income. President John Dramani Mahama, in accordance with Article 106(7) of the Constitution, has now formally assented to the bills, making the repeal official.
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The announcement was also shared by Felix Kwakye Ofosu, Minister in charge of Government Communications, on his official X page. “President Mahama has this morning assented to the bills scrapping the E-Levy,” he stated. “He also assented to bills that will uncap GETFund, NHIL, and RoadFund.”
Background Of E-Levy
The Electronic Transaction Levy (E-Levy) was originally introduced by the New Patriotic Party (NPP) government under President Nana Akufo-Addo through the Electronic Transfer Levy Act, 2022 (Act 1075). The law, passed on March 29, 2022, after a contentious parliamentary process, imposed a 1.5% tax (later reduced to 1%) on electronic transactions. These transactions included mobile money payments, bank transfers, and payments made to merchants.
The stated aim of the levy was to broaden Ghana’s tax base by targeting the informal sector. Projections estimated that it would generate GH¢4.5 billion annually to help address fiscal deficits amid broader economic challenges, including the 2022 debt crisis. Implementation of the E-Levy began on May 1, 2022, following its approval by a slim NPP majority (137-136) in Parliament, an approval that occurred despite a walkout by the opposition National Democratic Congress (NDC) Minority. The E-Levy was met with immediate backlash.
Public protests, organized by groups such as #NoToELevy, emerged in response, with protesters highlighting the levy’s disproportionate burden on low-income Ghanaians who rely heavily on mobile money. A 2022 study conducted by ISSER (Institute of Statistical, Social and Economic Research) found that 83% of Accra’s informal workers disapproved of the tax. Compliance remained low, and by December 2024, revenue generated had only reached GH¢1.5 billion, according to reports, significantly below initial targets.
The NDC challenged the levy’s legality in the Supreme Court in April 2022, arguing that there were procedural flaws in its passage. However, the court upheld the levy in a unanimous 7-0 ruling on October 26, 2022. During the 2024 campaign season, both the NDC and NPP included promises to repeal the E-Levy in their campaign platforms. The NDC consistently described the levy as regressive and punitive, arguing that it disproportionately affected the poor and stifled digital financial inclusion.
