Anthony Sarpong of the GRA and Clement Boateng of GUTA have partnered on this
The Ghana Revenue Authority (GRA) and the Ghana Union of Traders’ Association (GUTA) have agreed on transitional measures to guide traders through the implementation of the new Value Added Tax Act, 2025 (Act 1151).
At a joint consultation meeting held in Accra on Wednesday, January 7, 2026, the Commissioner-General and management of GRA met with the president and executives of GUTA to deliberate on the impact of the new legislation, particularly for traders who had previously operated under the VAT Flat Rate Scheme.
The meeting also addressed transitional issues associated with the rollout of the VAT reforms.
Following the discussions, both parties agreed that all eligible taxpayers, including GUTA members, will be required to charge and account for VAT at the effective rate of 20 per cent, comprising VAT, NHIL, and GETFund Levy, until the end of the first quarter of implementation.
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“This approach will allow for a smooth rollout of the new system while giving GUTA the opportunity to provide feedback on concerns raised,” a statement released on January 7, said.
It was also agreed that a joint technical team made up of representatives from GRA and GUTA will be established to address sector-specific challenges such as VAT record keeping, input VAT claims, and calculation methods.
The statement further noted that “The Joint Technical Team will make recommendations for further review to ensure that traders’ concerns are properly addressed.”
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In addition, education and sensitisation programmes will be intensified nationwide to guide traders through the transitional arrangements and ensure compliance with the new VAT regime.
The Commissioner-General assured traders, “We are committed to supporting traders with the necessary information so that compliance becomes easier and less burdensome.”
The GRA reassured traders who previously operated under the VAT Flat Rate Scheme of its full support and pledged to adopt a collaborative approach to guarantee a smooth transition.
GUTA, on its part, encouraged its members to comply with the new VAT law, stating:
“We urge all our members to follow the new VAT regime. Compliance is in the interest of traders, consumers, and national development.”
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Both organisations reaffirmed their commitments to ongoing dialogue, stressing that the reforms are aimed at balancing the interests of traders, consumers, and the broader economy.
VKB/AE
Source:
www.ghanaweb.com
