15 April 2020

Ghana announces plans to provide relief to frontline health workers in response to COVID-19

In a nationwide broadcast on 5 April 2020, Ghana's President addressed the nation on the progress made in the fight against the COVID-19 pandemic and the incentives the Government has proposed for frontline health workers as well as for the general public.

In the 5 April address, Ghana's President announced the following incentives for the frontline health workers, namely:

  1. Exemption from the payment of tax on their employment emoluments for a three-month period commencing from April 2020.
  2. A daily allowance of GHS150 (approx. US$26) payable to those undertaking contact tracing.
  3. Additional allowance of 50% of their basic salary per month for a four-month period commencing from March 2020.
  4. Insurance package, with an assured sum of GHS350,000 (approx. US$60,345).

In addition, the President announced that, to enable everyone to wash his/her hands frequently, the Government will absorb the water bill of every resident individual for a three-month period commencing from April 2020.

Already, a challenge has been made over who is considered a frontline health worker. The President has asked the ministers responsible for health and finance to work with all the stakeholders to resolve this issue.

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CONTACTS

For additional information with respect to this Alert, please contact the following:

Ernst & Young Advisory Services Limited, Accra

  • Robin McCone
    robin.mccone@gh.ey.com
  • Isaac Sarpong
    isaac.sarpong@gh.ey.com

Ernst & Young Advisory Services (Pty) Ltd., Africa ITTS Leader, Johannesburg

  • Marius Leivestad
    marius.leivestad@za.ey.com

Ernst & Young LLP (United Kingdom), Pan African Tax Desk, London

  • Rendani Neluvhalani
    rendani.mabel.neluvhalani@uk.ey.com
  • Byron Thomas
    bthomas4@uk.ey.com

Ernst & Young LLP (United States), Pan African Tax Desk, New York

  • Brigitte Keirby-Smith
    brigitte.f.keirby-smith1@ey.com
  • Dele Olagun-Samuel
    dele.olaogun@ey.com

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ATTACHMENT

PDF version of this Tax Alert

Document ID: 2020-0987