The Ghana Revenue Authority (GRA) has set an ambitious revenue mobilisation target of GH¢225 billion for the 2026 fiscal year, anchored on far-reaching reforms to the country’s Value Added Tax (VAT) regime.

Key among the changes is a significant upward review of the VAT registration threshold for businesses dealing in goods, which has been increased from GH¢200,000 to GH¢750,000 in annual turnover.

The move is intended to streamline compliance and ease the tax burden on smaller enterprises.

The revised VAT framework also introduces input tax credits for the National Health Insurance Levy (NHIL) and the GETFund levy, reduces the effective VAT rate to 20 per cent, and abolishes the VAT Flat Rate Scheme for retailers.

Speaking to journalists after appearing before Parliament’s Public Accounts Committee on Monday, January 12, the Commissioner-General of the GRA, Anthony Sarpong, said the authority is intensifying efforts to strengthen domestic tax compliance as the primary means of meeting the 2026 target.

“We have projected GH¢225 billion for 2026, and at the GRA, this is our core mandate,” he said.

“From the beginning of the year, we are working deliberately to improve revenue mobilisation. Revenue is the lifeblood of national development, and without it, the President’s vision for the country cannot be achieved.”