Parliament, led by First Deputy Speaker Bernard Ahiafor, has approved the Value Added Tax (VAT) Bill, 2025, a landmark step toward overhauling Ghana’s VAT system to enhance clarity, consistency, and legal certainty.
The new legislation replaces the existing flat-rate system with a unified structure aimed at simplifying the tax framework. It also raises the registration threshold for VAT-eligible businesses, which is expected to exempt many micro and small enterprises from VAT obligations.
During parliamentary debate, Minority Leader Alexander Afenyo-Markin cautioned that the new framework could increase tax liabilities for businesses and raise the financial burden on the public.
However, Deputy Finance Minister Thomas Nyarko Ampem dismissed these concerns, asserting that the reforms will make compliance easier and will not impose additional tax burdens on businesses or consumers.
