The cost of living has become an ongoing struggle for many. With rising food prices, soaring utility bills, increased transportation fares, and escalating healthcare costs, making ends meet is a daily challenge. However, President John Dramani Mahama’s recent decision to abolish the E-Levy, Betting Tax, and Emissions Levy has brought a sense of renewed hope that life might get a little easier.
But will these tax cuts truly make a difference in the everyday lives of Ghanaians?
For many, the removal of the E-Levy means that digital transactions no longer come with additional fees. Small business owners, market women, and even taxi drivers who depend on mobile money are thrilled by this change. As one MoMo user shared, “I used to avoid MoMo because of the charges, but now I don’t have to carry so much cash anymore.”
It’s not just mobile money users who are celebrating. The youth, especially those involved in sports betting, are rejoicing over the removal of the Betting Tax. They no longer have to lose a portion of their hard-earned winnings. For some, this means they can finally enjoy the full excitement of sports betting without the frustration of deductions. However, not everyone is convinced this is a positive change. One concerned voice asks, “Now that the tax is gone, won’t people bet even more recklessly?”
Then, there’s the Emissions Levy, which caused significant strain for commercial drivers and transport businesses. This “Nwisie tax” had caused many companies to collapse, with complaints that it only made life more difficult, especially with rising fuel prices. And the VAT on motor vehicles? That’s been another headache. Countless times, I’ve had to argue with trotro mates because the fare I pay going somewhere is different from what I pay on the return trip. Their excuse? “Haven’t you heard of the Emissions Levy or VAT on motor vehicles?”
While the tax cuts have been welcomed by many, economists warn that unless the government addresses inflation, reduces fuel prices, and stabilizes the cedi, everyday costs will continue to rise. These tax cuts may feel like a temporary relief rather than a lasting solution.
For now, the country watches and waits, wondering if this marks the beginning of a genuine economic turnaround, or if we’ll soon face new financial struggles. Time will tell.
