Banks to apply 20% VAT on cross-border digital payments with Ghana-issued cards

Commercial banks are set to impose a 20% Value Added Tax (VAT) on cross-border digital payments made with Ghana-issued cards, according to reports from Joy Business. The banks claim they are complying with a directive from the Ghana Revenue Authority (GRA). However, the specifics of this directive and whether banks have already started applying the tax have yet to be confirmed.

Standard Chartered Bank has informed its customers that it will start applying the 20% VAT to payments for cross-border digital services made with its Ghana-issued cards starting October 15, 2026. The banks expect the tax to cover various categories including digital media and entertainment, software and software as a service, cloud and hosting services, digital gaming and betting, education and subscriptions, digital advertising, social media and communication, online travel and hospitality, computer and IT services, security and VPN services.

Customers who pay for these services using debit or credit cards issued in Ghana will be required to pay an additional 20% VAT on top of the service price, the applicable VAT, and any existing bank transaction charges.