The Ghana Revenue Authority (GRA) has warned businesses that deliberately fail to meet their Value Added Tax (VAT) obligations could face heavy penalties, interest and possible criminal prosecution.
Commissioner of Domestic Tax Revenue at the GRA, Dr Martin Kolbil Yamborigya, said the Authority would initially prioritise taxpayer education and assistance to help businesses comply, but would not hesitate to enforce the law against those who knowingly evade their obligations.
Speaking on Joy FM’s Super Morning Show on September 15, Dr Yamborigya said the GRA would assess each case to determine whether a taxpayer’s failure to comply resulted from a lack of understanding or was a deliberate attempt to evade tax.
“Our first aim is to educate and then follow for compliance. So, we help you to comply,” he said.
He, however, warned that businesses found to be deliberately breaching their VAT obligations could be subjected to enforcement measures.
“But if we find out that your non-compliance is deliberate, then we can move into enforcement where we can impose penalties and interest,” he cautioned.
Dr Yamborigya said businesses that fail to properly account for VAT could become liable for taxes that should have been collected and paid to the government.
He therefore urged businesses required to operate within the VAT regime to ensure that they register appropriately, charge the correct tax, issue approved VAT invoices and maintain proper records.
They must also file their VAT returns and settle their tax liabilities within the prescribed periods, he said.
The GRA official encouraged businesses that were uncertain about their VAT responsibilities to seek guidance from the Authority rather than risk breaching the law.
He stressed that deliberate violations could attract consequences beyond financial penalties, depending on the nature and seriousness of the offence.
“We could even take you to prison if we find out that the actions that you are taking” are in breach of the law, he warned.
The warning forms part of the GRA’s ongoing taxpayer education and compliance campaign under the Value Added Tax Act, 2025 (Act 1151).
The campaign seeks to strengthen voluntary compliance, protect government revenue and ensure that compliant businesses are not placed at a disadvantage by competitors who deliberately fail to account for VAT.
The GRA’s approach, Dr Yamborigya indicated, is therefore to give taxpayers the opportunity and support to comply, while reserving stronger enforcement action for businesses that knowingly disregard their legal obligations.
