By Jibril Abdul Mumuni
Accra, May 9, GNA – The Ghana Revenue Authority says the electronic VAT system (E-VAT) has recorded a 175 per cent progress rate in phase 1 of the initial rollout.
The response comes against the backdrop of a publication stating that retail outlets suck the economy dry as Ghana loses billions in revenue through the E-VAT systems.
In a statement copied to the Ghana News Agency, the Authority debunked the publication, saying it had successfully conducted a pilot and phase rollout of the system and recorded significant progress in revenue collections.
“A highly successful pilot has been completed with 50 taxpayers. The test and pilot phases provided a pathway for successful and seamless E-VAT implementation, which prioritized minimal disruption to taxpayers’ back-office processes.”
“During the Pilot Phase, VAT revenue grew by over 58 per cent, representing additional contributions in excess of GHs 384 million. Electronic VAT invoicing efficiency contributed to a revenue impact of GHs 124 million, accounting for 32% of this increase,“ the statement said.
The statement said, “The initial rollout phase, which is currently ongoing, is focused on onboarding large taxpayers who account for 80 per cent of VAT contributions.
The revised timeline for Phase 1 is April 22, 2024, to May 31, 2024. Initial results from Phase 1 onboarding have been highly encouraging, with a 175 per cent progress rate so far, as measured against weekly onboarding targets.”
The statement said the second phase targets the onboarding of medium and small taxpayers by the end of December 2024.
The statement said the final implementation phase would target the integration of all other VAT-registered taxpayers into the E-VAT system.
According to the statement, the successful rollout of E-VAT is poised to enhance revenue collection, combat tax evasion, and help promote transparency in tax administration, as demonstrated by the pilot phase.
The GRA assured stakeholders of the significant positive impact that the E-VAT will have on VAT contributions.
The GRA also assured stakeholders of steadfast commitment to the comprehensive and rapid implementation of the E-VAT system.
GNA