Deputy Minister of Finance, John Kumah, has said the government has no intention of cancelling the Covid-19 levy, despite calls from many to abrogate its collection.
He revealed this during an interview on Adom FM’s late political talk show, Burning Issues, hosted by Akua Boakyewaa Yiadom.
The Covid-19 Health Recovery Levy Act, 2021, imposes a 1% Covid-19 Health Recovery Levy on various expenditures related to the pandemic.
Despite the fact that some have argued that the levy should be scrapped since Covid-19 is no longer classified as a pandemic, the government did not include such a provision in the 2023 budget review presentation, leaving those expectations unmet.
Addressing the development, Dr John Kumah stated, “though the World Health Organisation has declared Covid-19 is no longer a pandemic, its impact still exists. Abolishing the Covid tax cannot happen now. We understand that the pandemic is no longer with us, but its implications are still affecting us, and the government has not yet finished paying off the money borrowed to sustain the economy during the pandemic. That is why we are unable to cancel the Covid levy.”
D Kumah further explained that the specific tax is set to expire in 2024, and when the time comes, the entire nation will collectively decide its fate.
Until then, the government believes it is necessary to continue collecting the levy to address the ongoing impacts of the pandemic on the country’s economy and public health.
So, despite calls for its cancellation, the Covid-19 levy will remain in effect until 2024, as the government deems it crucial to manage the lingering consequences of the pandemic.
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