Monrovia, Liberia – President Joseph N. Boakai has issued Executive Order No. 142, which suspends the Goods and Services Tax (GST) on international travel services and replaces it with a fixed levy on airline tickets for passengers departing Liberia.
An Executive Mansion release dated February 24, 2025, stated that the decision is part of the government’s commitment to supporting revenue mobilization while tackling the ongoing difficulties in collecting GST on airline tickets, especially those bought online.
The new measure aims to minimize revenue leakages, ensure a more transparent and efficient collection process, and sustain economic growth.
With the signing of Executive Order No. 142, President has suspended GST; the 10% GST previously imposed on the sale of international transport services (air, sea, and land), as well as services of travel agencies and ticket issuances.
Boakai explained that the introduction of Fixed Fees with a flat levy, will now be imposed on each ticket sold for international travel, with details to be determined by the Ministry of Finance and Development Planning (MFDP) in consultation with the Liberia Revenue Authority (LRA).
With Collection and Remittance; airlines, travel agencies, and other ticketing entities must collect the levy at the point of sale and remit proceeds to the LRA as per prescribed regulations.
President Boakai, “Enforcement and Compliance: The MFDP and LRA are mandated to ensure full implementation, with penalties for non-compliance under existing laws.”
As it relates to reporting, the LRA will submit regular reports on revenue performance to the MFDP to ensure transparency and accountability.
The Liberian leader said that the order takes immediate effect and remains in force until further executive or legislative action.
President Boakai also reaffirmed his administration’s dedication to sound financial governance and ensuring that government revenues are effectively managed for national development.
He called on all stakeholders to cooperate in implementing this new measure for the collective benefit of the country’s economy.