The Ghana Revenue Authority (GRA) and the Ghana Union of Traders’ Association (GUTA) have reached an agreement on measures to ensure a smooth rollout of the newly enacted Value Added Tax Act, 2025 (Act 1151).
The agreement followed a joint consultation meeting held in Accra on Wednesday, January 7, 2026, where both parties discussed the impact of the new VAT law, particularly on traders who previously operated under the VAT Flat Rate Scheme.
Under the agreement, all eligible taxpayers, including GUTA members, will charge and account for VAT at an effective rate of 20 per cent. This rate includes the VAT, the National Health Insurance Levy (NHIL), and the GETFund Levy, and will apply until the end of the first quarter of implementation, in accordance with the law.
A joint technical team, composed of representatives from GRA and GUTA, will be established to address sector-specific challenges such as VAT record-keeping, input VAT claims, and VAT calculations. The team will also make recommendations for future improvements.
In addition, nationwide education and sensitisation programmes will be intensified to guide traders through the transition and ensure compliance with the new VAT regime.
The GRA has assured traders of its full support and a collaborative approach to ease the transition, while GUTA has urged its members to comply with the new law. Both institutions reaffirmed their commitment to continued dialogue in the interest of traders, consumers, and national development.
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