The Ghana Revenue Authority (GRA) has launched a nationwide VAT Compliance Campaign to narrow the country’s estimated 60 percent VAT gap through education, awareness creation, and enforcement. The exercise commenced Tuesday at the Accra Mall, where officials audited businesses for compliance with invoicing regulations.
During an inspection at Say Cheers, a team led by Dr. Martin Kolbil Yamborigya, Commissioner for the Domestic Tax Revenue Division, discovered that no VAT invoices had been issued since September 15 despite ongoing sales.
He said: “The VAT booklet doesn’t really work… it is very clear that compliance is no good. We are coming to do invoice invigilation to make sure the right thing is being done.”
Staff across several shops were cautioned to issue VAT invoices for every taxable transaction automatically, rather than only upon customer request. Addressing journalists after the exercise, Dr. Yamborigya stressed that the Authority aims to improve compliance without disrupting operations or harassing business owners.
“This campaign is not meant to harass businesses. We will show the human face. If we were not to show human face, we probably would have called for their arrest immediately,” he said.
In response, the Ghana Union of Traders’ Associations (GUTA) called on the GRA to ensure that field officers maintain a cooperative approach during market visits. Speaking in an interview on Rainbow Radio’s Frontline Show following the campaign’s launch, GUTA President Clement Boateng acknowledged the importance of taxation to national development.
“As we are all aware, every country needs tax to embark on its developmental agenda and our dear country Ghana is no exception,” he highlighted.
However, he urged the Authority to emphasize collaboration over confrontation as enforcement escalates.
“After this launch today there is going to be a nationwide education, sensitization, enforcement and awareness creation to let Ghanaians know why there is the need for those who qualify to pay VAT has to do so. What I will entreat GRA to do is to attach a human face when the time comes for them to go to the market for the exercise. Their officers who will be deployed to the markets should be friendly and accommodative in carrying out their duty,” he said.
The GUTA President also urged the GRA to educate consumers on the benefits and incentives available to those who demand VAT invoices when making purchases.
“I will also urge GRA to include in their education the incentive that will be given to consumers who demand VAT invoices after their purchase,” Clement Boateng stated.
While the GRA maintains that sanctions will apply to recalcitrant businesses, it intends to continue engaging the business community throughout the campaign.
By: Rainbowradioonline.com/Ghana
