Head of Accra Central Enforcement Unit of GRA, Joseph Annan has reiterated that it is a criminal offence for any registered business to default in issuing tax on the electronic Value Added Tax (VAT) system.
He has also stated that if a defaulting business is arrested, there will be no place for clemency or compromise.
Mr. Annan highlighted to the press on Tuesday, June 6, 2023, during an exercise to crack down on some defaulting enterprises, that some companies have requested that the GRA invite the businesses to iron out the concerns.
However, he said that these businesses have missed the point of what is currently taking place.
He stated that the GRA is enforcing the legislation, and as part of the process, they conduct a test purchase in which they come in unnoticed to see if the firms were voluntarily complying.
He said once the said business fails that test, the next thing is to arrest you for non-compliance.
“It is not about being invited. We are enforcing the law. You have gone against Section 41 of the VAT Act where you are supposed to issue the invoice. So once you failed to do so, you have committed an offence for which are supposed to be arrested and that is what we are doing now. Once you are arrested, you have to go put your statement down with the CID,” he added.
He was addressing the journalists during an exercise to clamp down on businesses evading tax on the electronic Value Added Tax (VAT) system, the Ghana Revenue Authority (GRA) task force has clamped down on four more businesses in Accra.
The managers of the businesses were picked up by the task force leading the operation.
The businesses are Buildmart (Paint and Accessories shop in Adabraka), Bedarts Cold Supplies (Nungua), Excelelnce Boutique (Lashibi) and YAT Ventures (Maamobi).
The companies were not issuing the e-VAT invoice as required by law.
The Managers were taken to the Customs office at the headquarters for statements before being turned over to the Police Criminal Investigation Department.
The initiative is part of a nationwide VAT invigilation effort to ensure tax compliance and recover taxes owed to the state.
By: Rashid Obodai Provencal/Rainbowradioonline.com/Ghana