GRA says review of nation's VAT regime almost ready

The Ghana Revenue Authority (GRA) is nearing completion of a major overhaul of the country’s Value Added Tax (VAT) system, with implementation expected to begin soon. The reform is designed to simplify VAT procedures and enhance domestic revenue collection.

During a virtual stakeholder engagement on the theme "Resetting Ghana’s Revenue Mobilisation," Acting Commissioner-General of the GRA, Anthony Kwasi Sarpong, disclosed that the review process is in its final stages and will soon be submitted to the Minister of Finance for consideration.

Mr. Sarpong explained that the revised VAT regime aims to respond to Ghana’s growing population and rising consumption patterns. "Ghana is expanding—our population has surpassed 30 million and will likely exceed 40 million in a few years. This will drive up consumption, and VAT must grow alongside it," he stated.

He noted that the Minister of Finance, in the 2025 Budget Statement, had already flagged the need for a comprehensive review of the VAT system. “The exercise has commenced and is almost concluded. We believe the final recommendations will guide the Minister to introduce the right policies, and we at the GRA will ensure their effective implementation,” he added.

According to the Acting Commissioner-General, a modernised VAT system will not only make compliance easier for retailers and consumers but also improve Ghana’s tax-to-GDP ratio—a key indicator of the country’s fiscal health.

The virtual forum, which included participation from journalists and civil society organization Imani Ghana, also provided a platform for questions regarding the GRA’s revenue targets for the year and its broader strategy to increase tax efficiency in the short to medium term.