Ghana’s 2027 Budget will introduce no new taxes, placing greater responsibility on revenue authorities to improve collection, expand compliance and plug leakages rather than impose additional burdens on taxpayers.
“This 2027 Budget will not introduce any new tax,” Finance Minister Dr Cassiel Ato Forson told Parliament on Thursday.
Total revenue and grants for 2027 are projected at GH¢323.1 billion, equivalent to about 17.9 per cent of gross domestic product. Non-oil tax revenue, projected at GH¢255.8 billion, will account for about 79.2 per cent of the total.
Non-oil non-tax revenue is estimated at GH¢33.5 billion, while total oil and gas receipts are projected at GH¢15.5 billion. Other revenue, comprising transfers linked to the National Health Insurance Levy and Energy Sector Levies, is expected to contribute GH¢15.1 billion, with grants projected at GH¢3.2 billion.
The arithmetic leaves little room for weak compliance.
Government expects its revenue performance to be driven by improved tax administration, stronger customs controls, an expanded tax base, digitalisation and measures to reduce leakages. Dr Forson said recent improvements in revenue mobilisation had been achieved without introducing new taxes or increasing existing tax rates.
The 2027 programme, however, includes significant reforms to the country’s tax framework.
Government expects to complete the modernisation of tax legislation, with a new Income Tax Act expected to be enacted in early 2027. The Revenue Administration Act will also undergo a comprehensive review to harmonise procedures for taxpayer registration, assessment, collection and enforcement, while strengthening dispute resolution and improving the administration of refunds and penalties.
The Communications Service Tax framework will be comprehensively reviewed and consolidated into a single law. The government says the exercise will update the tax base for the digital economy, remove cascading, avoid double taxation and improve the efficiency of the tax.
Stamp Duty administration is also set for reform, with government planning an end-to-end digital system for the submission, assessment and payment of duties.
Ghana will review customs concessions under Chapter 98 of its tariff schedule to clarify which raw materials, machinery and other inputs qualify for concessionary rates. Government says the reforms are intended to reduce abuse, revenue leakages and market distortions while ensuring concessions support genuine industrial activity.
Ghana will also continue its assessment of the costs and benefits of its Double Taxation Agreements and engage treaty partners to review or renegotiate agreements where necessary. The exercise is intended to prevent treaty abuse, combat base erosion and profit shifting, and protect domestic tax revenue while supporting legitimate cross-border investment.
Taken together, the reforms point to an important distinction in the government’s pledge: no new taxes does not necessarily mean no changes to the tax system.
The planned reforms could reshape how existing taxes and concessions are administered without introducing a new levy. Businesses that benefit from customs concessions or operate under international tax agreements will be watching closely as the details of the reforms emerge.
The government also pointed to taxes and levies it has removed since taking office, including the Electronic Transfer Levy, the withholding tax on betting and lottery winnings, the COVID-19 Levy, the Emissions Levy and the value-added tax on motor vehicle insurance.
One new relief is planned for the energy sector. Solar panels and batteries will be exempt from import duties and value-added tax under incentives linked to the government’s 24-hour economy programme, a measure intended to lower the cost of adopting solar energy.
The 2027 fiscal framework projects total expenditure of GH¢375 billion on a commitment basis, meaning the success of the government’s spending and development agenda will depend heavily on its ability to deliver the projected revenue.
A budget without new taxes, therefore, asks more of the institutions responsible for collecting those already on the books. In 2027, the performance of Ghana’s revenue administration may determine whether the government can sustain its promise of raising more money without asking taxpayers to pay more.
