The Ghana Revenue Authority reports that the new VAT regime is reducing cost pressures on consumers, resulting in approximately GH¢6.5 billion returned to households with a 1.9 percent decrease in prices.
Prices of goods and services have decreased by approximately 1.9 percent since the reforms were implemented, attributed to the reduction of the effective VAT rate to 20 percent.
During a VAT compliance monitoring exercise at shopping malls in Spintex, GRA Commissioner-General Anthony Sarpong urged businesses to voluntarily adhere to the revised VAT framework and encouraged consumers to request VAT invoices to aid in enforcement.
During our visit to various shops, we assessed the implementation of VAT reforms, which include reducing the rate, abolishing the COVID levy, removing the coupling, and raising thresholds for smaller businesses.
This morning, we assessed several shops and confirmed they have properly configured their systems to apply the new VAT rates.
Consumer engagement has shown satisfaction with the VAT rate reduction, as affirmed by the Minister of Finance, resulting in over 6.5 billion returned to Ghanaians, which consumers are actively benefiting from.
GRA encourages businesses and individuals to voluntarily comply with VAT by charging, implementing it in their systems, and issuing VAT invoices. Consumers are also urged to request VAT invoices when making purchases to benefit from the new reforms.
Anthony Sarpong emphasized that sustained compliance is essential for generating revenue for national development, aligning with President John Dramani Mahama's economic vision.
Businesses and consumers must act responsibly to generate revenue needed for national development. The President envisions 2026 as a year of growth, job creation, and transformation.
To support national development, all Ghanaians are urged to pay their VAT and collect invoices, collaborating with the GRA and businesses to raise necessary revenue for the President's vision of transforming the economy, creating jobs, and benefiting the nation.
Shopping malls in the Spintex enclave, such as Palace Mall and Melcom, reported that they have adjusted their systems to align with the new VAT regime, leading to price reductions that customers find satisfactory.