Finance Minister urges Ghanaians to demand tax invoices

Dr. Cassiel Ato Forson, the Finance Minister of Ghana, has called upon citizens to insist on receiving VAT invoices for their purchases. This move aims to enhance tax compliance, accountability, and revenue generation for the nation's development. The Minister emphasized that requesting VAT invoices would enable consumers to verify the taxes paid, promote transparency in business dealings, and ensure proper accounting of collected taxes.

Dr. Forson made this appeal during the launch of the Ghana Revenue Authority's (GRA) National VAT Compliance Campaign, which was themed, "Request Your VAT Invoice, Help Build Our Nation."

The campaign seeks to promote shared responsibility, accountability, fairness, and citizen participation in strengthening Ghana's tax system. Dr. Forson highlighted that the government is committed to improving tax administration, boosting voluntary compliance, and ensuring that every cedi owed to the State contributes to national development.

To achieve this, the government has implemented significant VAT reforms, such as discontinuing the COVID-19 Health Recovery Levy and decoupling certain levies from the VAT base. Other reforms include lowering the effective VAT rate from 21.9% to 20%, increasing the VAT registration threshold, and extending VAT zero-rating on locally manufactured textiles until 2028.

Additional measures include employing digital solutions for monitoring VAT on cross-border digital transactions, introducing Fiscal Electronic Devices (FEDs), and launching a VAT reward scheme to encourage consumers to collect VAT receipts. The Minister explained that these reforms are aimed at simplifying the VAT system, supporting businesses, and strengthening domestic revenue collection.

Dr. Forson stressed that VAT invoices protect consumers by providing proof of transactions and allowing them to verify whether the correct tax amount was charged. Proper invoicing would also encourage businesses to maintain accurate records and comply with tax laws, fostering a level playing field for compliant enterprises.

He stressed that revenue mobilization is a collective national responsibility involving the government, the GRA, businesses, and citizens. Dr. Forson urged businesses to ensure that all taxable transactions are properly invoiced, train their staff to issue VAT invoices, and ensure that their accounting and invoicing systems comply with GRA requirements.

The Minister called on the GRA to intensify tax education across various platforms, such as markets, shopping centers, transport terminals, communities, educational institutions, and workplaces, leveraging radio, television, social media, and community leaders. Dr. Forson praised business associations for their support of government and the GRA's tax reforms, noting that there is still room for improvement in compliance.

Ghana's current tax-to-GDP ratio is at 13.9%, and the government aims to increase this to 18-20% by the end of 2027.

He urged the media to disseminate the campaign message nationwide and encouraged every Ghanaian to adopt the habit of asking for their VAT invoice whenever making a purchase.