- The effective VAT rate has been reduced from 21.9% to 20%.
- The new rate consists of 15% VAT, 2.5% NHIL, and 2.5% GETFL.
- Levies are now claimable as input tax, unlike before.
- This change removes the cascading effect, restores tax neutrality, and lowers costs for businesses and taxpayers.
Source: assets.kpmg.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
Latest Posts in "Ghana"
- VAT Relief for Reconnaissance and Prospecting Activities in Early-Stage Mining Projects
- VAT Relief for Manufacturers on Imported Raw Materials Now Subject to Biannual Register Updates
- Consolidated VAT Rules Clarify Digital Services Scope, Exclude Online Gaming, Enhance Compliance Certainty
- Higher Upfront VAT Rate Imposed on Unregistered Importers to Encourage Timely VAT Registration
- Act 1151 Mandates FED Integration for Transaction-Based VAT Filing and Enhanced Tax Monitoring
