The Ghana Revenue Authority (GRA) has officially scrapped the 1% Electronic Transfer Levy (E-Levy), effective from April 2, 2025. This move comes after the President assented to the Electronic Transfer Levy Act, 2022 (Act 1075) and its amendment, marking the end of a controversial levy that sparked heated debate across the country.
From midnight on April 2, all businesses and charging entities have been instructed to stop applying the E-Levy on electronic transactions. The GRA has emphasized in an official communication that any transactions conducted after this time should not incur the 1% charge, signaling a fresh start for digital payments in Ghana.
However, businesses that have already collected the levy must act fast. The GRA has ordered them to immediately process refunds for any E-Levy amounts deducted from customers since midnight. To avoid potential complications, businesses are required to maintain proper documentation of all refunds and submit detailed reports to the GRA for reconciliation.
Entities are also instructed to ensure they pay any outstanding E-Levy amounts collected before the official end date, and to continue posting transactions to the Electronic Transfer Levy Management and Assurance System (ELMAS) for proper record-keeping. The GRA has reiterated that electronic transfer records must be retained for a minimum of six years, in line with the Revenue Administration Act.
While the removal of the E-Levy is expected to bring relief to consumers and businesses alike, the GRA has made it clear that non-compliance will not be tolerated. Entities found flouting these new directives will face sanctions. The GRA has promised to carry out regular checks to ensure businesses are adhering to the new guidelines.
“The abolition of the E-Levy will help foster a more efficient digital economy in Ghana by reducing unnecessary costs for businesses and consumers alike,” said Edward Apenteng Gyamerah, Commissioner of the Domestic Tax Revenue Division. “This is a step toward building a more transparent and competitive financial landscape.”
“We understand that this is a significant change for many businesses, but we are committed to supporting the transition and ensuring that it is as smooth as possible,” said Gyamerah.
He further added, “This move is not just about simplifying the tax system, but about creating an environment that promotes growth, innovation, and opportunities for all players in the digital economy.”
The abolition of the E-Levy is seen as a positive step towards simplifying Ghana’s tax system and boosting confidence in the digital economy. With less burden on digital transactions, many expect this to open up new opportunities for growth and innovation in the country’s financial landscape.
