The Value Added Tax (VAT) Service says it is reaching out to companies and operators in the construction industry to comply with the VAT law. The VAT Amendment Act 629 of 2002 stipulates that services supplied in the course of construction, demolition, alteration and maintenance to buildings are taxable. The VAT Service says it has however observed that the provisions are not being complied with by most businesses in the construction sector. In order to improve compliance, the service has been educating industry players in Kumasi on their VAT obligations. Deputy Head of the Kumasi VAT Office, Emmanuel Akpaku told Kumasi-based Luv FM government has taken steps to ensure contractors comply with the law. He hinted of strong sanctions against businesses that flout the law. Industry players however expect the VAT Service to increase education and rope in majority of contractors and estate developers who are not registered members of recognized associations. Source: Joy Business/Myjoyonline.com/Ghana