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

Commercial banks are set to introduce a 20 percent Value Added Tax (VAT) on cross-border digital payments made with cards issued in Ghana, as reported by Joy Business. The directive comes from the Ghana Revenue Authority (GRA), though the exact details of the directive remain unclear as of now. Standard Chartered Bank has informed its customers that it will start applying the 20 percent VAT to payments for cross-border digital services made with its Ghana-issued cards starting October 15, 2026. This move is in line with GRA requirements.

The tax is expected to apply to 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, and security and VPN services. At this point, the full scope and treatment of individual services are yet to be confirmed.

Customers using debit or credit cards issued in Ghana for transactions in the affected categories should anticipate the 20 percent VAT being added to the total amount payable. Commercial banks have clarified that this additional cost is a tax mandated by GRA, not a new fee imposed by the banks. Consequently, customers could be required to pay the service price, the applicable VAT, and any existing bank transaction charges for affected transactions.