The Commissioner-General of the Ghana Revenue Authority (GRA), Mr Anthony Kwasi Sarpong, has launched the National VAT Compliance and Enforcement Initiative as part of intensified efforts to improve Value Added Tax (VAT) compliance in the country.
The initiative, launched with members of a newly inaugurated compliance and enforcement team, aims to support the implementation of VAT reforms under the Value Added Tax Act, 2025 (Act 1151), which took effect earlier this year.
Mr Sarpong described the inauguration of the National VAT Compliance and Enforcement Team as a major milestone in Ghana’s VAT reform journey, noting that the reforms began last year and culminated in the passage of the new VAT law to strengthen domestic revenue mobilisation for national development.
He revealed that there was an estimated 60 per cent gap between the VAT revenue and what the GRA was capable of collecting, indicating that only four out of every 10 registered taxpayers are complying fully with their VAT obligations.
“VAT remains a critical source of government revenue, yet the data shows a significant compliance gap. This situation calls for urgent and sustained action,” he said.
According to Mr Sarpong, the team’s core mandate would be to promote voluntary compliance, detect and deter non-compliance, and ensure the consistent and professional application of the VAT law across all sectors of the economy.
He said a pilot enforcement exercise conducted on selected streets in Accra revealed that about 60 per cent of shops were either not registered for VAT, not charging VAT, or charging VAT but failing to remit it to the State.
Mr Sarpong stressed that while the GRA preferred cooperation through education and awareness, enforcement measures would be applied where taxpayers failed to register, charge VAT or remit VAT collected.
He assured businesses that VAT registration could be completed within 24 hours, disclosing that the Authority was using data and analytics to identify defaulters.
He added that GRA officers would be visible at business premises across the country, sometimes with prior notice and at other times unannounced, to ensure compliance with the law.
The Commissioner-General urged compliant businesses to maintain their good practices and called on non-compliant ones to regularise their VAT affairs without delay. He also appealed to the media to support public education on the VAT reforms.
Mr Sarpong announced that later in 2026, the GRA would introduce automation under the Fiscal and Electronic Devices Act, alongside a taxpayer reward scheme, to further improve VAT compliance.
He also called on consumers to always demand VAT invoices when making purchases, explaining that this helps ensure VAT collected is paid to the State to fund essential public services such as roads, hospitals, and schools.
The 26-member Compliance and Enforcement Team is chaired by Dr Martin Kolbil Yamborigya, a seasoned tax administrator and public finance expert. The team comprises specialists in audit, investigation, intelligence, legal enforcement, and taxpayer services.
Judith Twumwaa, ISD
