GRA to enforce electronic monitoring law to boost vat collection

The Ghana Revenue Authority (GRA) has announced plans to begin enforcing the Physical and Electronic Devices Act this year as part of a sweeping effort to strengthen Value Added Tax (VAT) collection.

Commissioner-General Anthony Kwasi Sarpong disclosed that the implementation will allow the Authority to deploy physical monitoring devices at retail outlets across the country to track transactions in real time.

He made the announcement at the closing session of a three-day management retreat of the Domestic Tax Revenue Division in Sunyani, held under the theme: “Transforming for impact and growth: Focusing on VAT performance and compliance.”

According to Mr Sarpong, the automation drive began in 2025 following the passage of a new VAT law designed to modernise tax administration and improve efficiency.

He explained that enforcing the Act will provide the legal backing needed to monitor sales nationwide, plug revenue leakages, and significantly enhance VAT compliance.

The Commissioner-General revealed that current VAT performance stands at approximately 40 per cent, meaning that nearly 60 per cent of potential VAT revenue is not being captured — a gap he described as unacceptable.

He stressed that the Authority is determined to reverse the trend and position VAT as a central pillar of Ghana’s revenue mobilisation strategy, adding that businesses remain key partners in ensuring tax compliance and national development.

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