It's not easy to make a good game that's based on a morality system. Unfortunately, this one needed to be planned out more. The decision to go to heaven or hell is a black-or-white one, as in you either decide to help the villagers by delivering things to other villagers, or decide to steal stuff from them. A more difficult and engaging choice could be to decide between 2 options, both could potentially be the right choice morally but both also have negative consequences. Maybe you could steal the medicine in order to help a dying homeless person?
Abusing the karma system is also too easy. You can just help or steal from one person in the living world, then repeatedly talk to their ghost in the dead world to gain or lose as many points as you need. It would also help if there was some indicator that you received an item from a villager when you talk to them (I thought the one with the medicine needed me to pick up the medicine in his cart when he told me to give some to the doctor, but that counts as stealing).
You did well with the graphics while using the shapely diversifier, the world looked nice (especially the horses) and I could tell what everything was even though it was all abstract shapes. The voice acting was a nice addition too (I found the chef's voice lines funny).
Sorry for all the criticism, I hope it helps you improve for your next game jam game.