‘Smart Finance Minister’ – Cudjoe on reducing tax refund to take care of eliminated taxes

The Funding President of IMANI Centre for Policy and Education, Mr. Franklin Cudjoe, has praised the Finance Minister Dr. Ato Forson for the innovative measures introduced in the just read 2025 Budget.

During the presentation of the 2025 Budget to Parliament, the Finance Minister provided a strong assurance to Ghanaians that the government is delivering on its promises.

Reflecting on the progress made, Dr. Forson highlighted several key achievements, underscoring the administration’s commitment to its pledges.

“We are making progress,” Dr. Forson declared, emphasizing the government’s fulfillment of major commitments. These include maintaining a lean administration with only 60 ministers, abolishing the controversial E-Levy, and eliminating the Betting Tax on winnings.

Many have cautioned the President Mahama-led NDC government against scraping these taxes as the government stands to lose over GHc6.7billion.

However, it appears this fear has been taken care of by the “Smart” finance minister as he aims to significantly reduce tax refunds to take care of taxes being scraped.

He says the government will limit tax refunds to 4% and expects GH¢3.8bn in savings.

This, the IMANI Boss sees as very smart and innovative.

Smart Finance Minister. Reducing tax refund to take care of eliminated taxes? Didn’t see that coming. A humane budget. Fresh Air! – he wrote on his Facebook page

What is a Tax Refund in Ghana?

Tax Refund, according to the Ghana Revenue Authority, is due when your prepaid taxes and tax credits are more than the tax charged for the year. The Ghana Revenue Authority (GRA) can refund the overpayment in cash or give you a tax credit. You can use a tax credit to reduce future taxes.