The Alliance for Reproductive Health Rights (ARHR) has called on government to account for the use of funds collected through the COVID-19 Health Recovery Levy in the post-pandemic era.

According to ARHR’s Programme Manager, Policy and Budget Advocacy, Benjamin Oppong-Twumasi the 2026 National Budget failed to provide any clarity on how revenue from the levy has been utilized, leaving taxpayers uncertain about its impact.

Oppong-Twumasi stressed that despite the levy’s original purpose of defraying debts incurred during the pandemic, government has continued to collect it without clear directives on its application.

Speaking at a press briefing in Accra on Wednesday, December 10, 2025, he said; “We all know the background for the introduction of the COVID-19 levy — it was meant to defray debts incurred during the COVID era. But after those debts were paid, government continued collecting the levy. From the budget, there has been no directive on how these taxes should be used.”

He further said; “We want government to come out and tell us: we’ve collected COVID-19 levies for three, four, five years. Has it been used to build a CHPS compound, a hospital, or to buy drugs? Ghanaians deserve to know what their taxes have been used for. That is why we are calling on government to provide answers.”

Ghana’s economy suffered a sharp downturn in 2020 following the coronavirus pandemic.

The situation was further compounded by the Russia-Ukraine war, prompting the Akufo-Addo led government to adopt measures aimed at stabilizing the economy, including seeking financial assistance from the International Monetary Fund (IMF).

As part of these measures, the COVID-19 Health Recovery Levy was introduced in 2021 as a burden-sharing mechanism to support recovery efforts.

Why Ghanaians are still paying COVID-19 levy

Enacted by Parliament under Act 1068 on March 31, 2021, the levy imposes a 1% charge on the supply of goods and services made in Ghana, as well as on imports, excluding exempt items.

The levy is calculated alongside VAT, NHIL, and the GETFund Levy, with collections managed by the Ghana Revenue Authority (GRA).

Years after the pandemic, however, Ghanaians continue to pay the levy, which many have criticized as a “nuisance tax” that has outlived its purpose.

But on Wednesday, December 10, 2025, President John Dramani Mahama officially assented to the COVID-19 Health Recovery Levy Repeal Act, 2025, effectively scrapping the one percent levy that was imposed on goods, services, and imports at the height of the COVID-19 pandemic.

The President signed the repeal, paving the way for the complete removal of the levy effective January 2026

SA

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