The agreement will allow Tata to implement the ITAS to improve compliance, expand tax base, reduce leakages and enhance revenue from the digital economy.

Under the agreement, Tata will be granted a 20 per cent withholding tax on the income and value-added tax on imported services.

As part of broader reforms to address the limitations of GRA’s ability to deliver quality taxpayer services, track and enforce compliance effectively, and improve domestic revenue mobilisation, the authority signed an agreement with Tata for the implementation of the ITAS on May 24, 2024.

This was because the IMF had made ITAS a key structural benchmark under the ongoing Extended Credit Facility (ECF) programme as it identified its implementation as essential for enhancing tax compliance, boosting revenue performance, and improving the business environment. 

The agreement, which was first initiated under the previous administration, was presented to Parliament by the Minister of Finance, Dr Cassiel Ato Forson, on November 13, 2025 and it was referred to the Finance Committee.

Justification for agreement 

Providing a justification of the agreement in Parliament on Tuesday, Dr Forson said the GRA signed the contract with Tata in May 2024

He said the procurement of the ITAS project initially commenced through a competitive bidding in January 2024. 

He, however, said that the process was cancelled towards its conclusion due to a transition between Commissioner General Dr Ammish Owusu-Amoah, and Commissioner General Julie Essiam. 

When Commissioner General Essiam took office, he said, the new leadership of GRA awarded the contract on a sole sourcing basis, even though there was a running competitive sourcing. 

He said on November 4, 2024, an addendum was signed by Tata Consultancy Services Ltd and GRA, with Commissioner General Essiam signing on behalf of the GRA.

“The agreement says, subject to approval provided by Parliament of Ghana, Tata Consultancy Services is entitled to a 20 per cent withholding tax exemption from January 1, 2025, till the end date as set out under clause 4 of the agreement.

“Mr Speaker, it says that GRA shall be responsible and do all such acts required for obtaining such approval from Parliament. I am cleaning your [previous administration] mess,’ Dr Forson said. 

Arguing that his principle and position on tax was still unwavering, Dr Forson said the agreement was signed by the previous administration imposing an obligation on the people of Ghana.

“So Mr Speaker, the GRA is entitled to ensure that 20 per cent withholding tax is given to Tata Consultancy Services.

“I have not signed this contract, and the new Commissioner General, Anthony Sarpong, never signed this contract,” he said.

Dr Forson said the only reason he was bringing the agreement to Parliament was because Tata Consultancy Services was a foreign company, and before the contract should have been signed, “they should have come to Parliament under article 1815.”

“Mr Speaker, they did not come to you under article 1815 of the Constitution, and I am here to make sure that the right thing is done, and I am cleaning your mess.

“Apart from that, the Ministry of Finance cannot sit at the office and approve this tax obligation.”

Reduction of project cost

Telling the House other actions he took to rectify the anomaly, Dr Forson said that because the process of competitive sourcing was truncated, he asked the Commissioner General of the GRA to further renegotiate the programme.

“In further renegotiating the programme, we were able to reduce the cost of software and related items from $25.3 million to $20 million, saving $5.3 million on one line alone.

“I also negotiated downward hardware and related items from $15 million to $13.7 million; overall, everything put together, we saved $9 million plus for re-negotiating this agreement,” he said.

Dr Forson explained that the reason why he re-negotiated the agreement was to ensure that it was well implemented, was to make it “legal and stay within the remit of the law”.

Expressing his belief that the software was good, Dr Forson said, “before I implement, I have to come and clean everything else that I believe was wrong and that includes seeking parliamentary approval and renegotiating it.”

Minority’s opposition 

Opposing the agreement, the Minority Chief Whip, Frank Annoh-Dompreh, said the Minority’s dissenting view was premised on principle. 

He recalled that last year, the now NDC Majority, then the Minority, kicked against about 47 tax exemptions put before the House. 

He said even at the point of bringing exemptions that were related to One-District-One-Factory with the intention of creating jobs for the youth were opposed by the NDC MPs.

“Today, we are being invited to be part of an illegality, something that they spoke against it,” he said.

He pointed out that the Income Tax Act, 2015, gave the Commissioner General of GRA some powers, a reason that the Tata tax waiver application should be made by the GRA boss.

“Do not bring it to this House especially knowing your track record and what you stood for,” he said.

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Minister of Health, Mr. Kwabena Mintah Akandoh, made the announcement during an engagement with the Parliamentary Press Corps in Accra on Tuesday, explaining that the initiative will help the Ministry facilitate tax waivers on such donations for the collective benefit of the Ghanaian people.

He encouraged interested individuals and organisations to contact the Donation Desk via the hotline: 0204611611 for assistance.

COVID-19 Outbreak at University of Ghana

Earlier, Mr. Akandoh briefed Parliament on the recent COVID-19 outbreak at the University of Ghana, assuring the public that there is no cause for panic, as a robust disease surveillance system is in place to contain the situation.

He reported that 316 suspected cases of the Omicron variant were identified, with 107 confirmed cases, but no deaths or hospitalisations had been recorded.

“Mr Speaker, I want to assure Ghanaians that this is not a new virus, and we are not back in 2020. This Omicron variant has been with us before. It spreads fast, yes, but it is mostly mild. And we know how to manage it,” Mr. Akandoh said.

He added that the outbreak is currently localized to the university campus and has not significantly spread to Accra communities or other parts of the country.

The Minister reiterated the government’s commitment to providing full support to manage the outbreak, including stockpiling vaccines and personal protective equipment (PPEs).

Investigations revealed that recent Hall Week celebrations at the university contributed to the spread of the virus due to non-adherence to COVID-19 safety protocols.

Heightened Public Health Response

In response, the Ministry’s disease surveillance team is working closely with the University’s Health Directorate, the Noguchi Memorial Institute for Medical Research, and the School of Public Health to intensify education and encourage adherence to preventive measures.

Campus-wide awareness campaigns have been launched using posters, campus radio stations, and student leaders to reach the broader university community.

Mr. Akandoh noted that while COVID-19 is no longer classified as a global emergency, occasional outbreaks may still occur. He assured Ghanaians that the government remains prepared to respond swiftly and effectively.

GNA

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