Ghana Revenue Authority Aims for GH¢225 Billion Revenue Target by 2026 with VAT Reforms

The Ghana Revenue Authority (GRA) has set an ambitious revenue target of GH¢225 billion for the fiscal year 2026, focusing on significant reforms to the Value Added Tax (VAT) system. Key changes include raising the VAT registration threshold from GH¢200,000 to GH¢750,000 to alleviate compliance burdens for smaller businesses. The new framework will also introduce input tax credits for the National Health Insurance Levy (NHIL) and the GETFund levy, reduce the effective VAT rate to 20%, and abolish the VAT Flat Rate Scheme for retailers. Commissioner-General Anthony Sarpong highlighted the importance of enhancing domestic tax compliance to achieve this target, emphasizing that increased revenue is crucial for national development and aligns with the President’s vision for economic growth.