Businesses above GH¢750,000 turnover must register for VAT – GRA

The Ghana Revenue Authority (GRA) has issued a warning to businesses with annual taxable turnover exceeding GH¢750,000. According to Dr Martin Kolbil Yamborigya, the Commissioner of Domestic Tax Revenue, these businesses must register for Value Added Tax (VAT) and follow the rules outlined in the Value Added Tax Act, 2025 (Act 1151). Dr Yamborigya emphasized that businesses generating taxable sales or turnover beyond the specified limit are legally obligated to register and collect VAT.

During a recent interview on Joy FM's Super Morning Show, Dr Yamborigya cautioned businesses against deliberately avoiding registration. He stressed that such a decision would not exempt them from their tax obligations. "Even if you refuse to register, by law, we still consider you registered and liable to charge the tax," he explained.

The GRA's VAT education and compliance campaign includes visits to selected business premises to verify registration, invoicing, and tax compliance. The Authority will also ensure that businesses are charging the correct tax amount and issuing Commissioner-approved VAT invoices. Dr Yamborigya urged consumers to support the campaign by insisting on proper VAT invoices for their taxable purchases.

The initial focus of the campaign will be on educating taxpayers and assisting them in complying with the law. However, Dr Yamborigya warned that deliberate non-compliance could result in penalties, interest, and other enforcement measures.