Complex Tax Processes, Low Morale: GRA moves to fill gaps in Ghana's tax system

The Commissioner-General of the Ghana Revenue Authority (GRA), Anthony Kwasi Sarpong, has stated that despite the informal sector contributing around 30% of Ghana’s Gross Domestic Product (GDP), many within the sector still fail to meet their tax obligations.

According to Sarpong, this shortfall in tax revenue is largely due to challenges such as complex tax filing processes, low tax morale, and insufficient public education on taxation.

Speaking at the launch of the Sustained National Tax Education Programme and the Modified Taxation Scheme in Accra on Wednesday, November 5, 2025, he said, “Ghana faces a significant tax compliance challenge, particularly within the informal sector. While the sector contributes about 30% to our GDP, its contribution to tax revenue remains minimal. This gap is driven by complex tax procedures, low morale, and a lack of awareness.”

To address these challenges, the GRA has introduced the Modified Taxation Scheme, a reform initiative aimed at modernising Ghana’s tax administration and aligning it with global best practices.

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“This scheme introduces simplified, technology-driven processes designed to make tax filing more convenient, predictable, and transparent, especially for small and medium-sized enterprises,” Sarpong explained.

He emphasised that when citizens are well-informed, tax compliance becomes a voluntary and natural act rather than merely a legal obligation.

“People need to clearly understand and experience the process of paying taxes. Voluntary compliance should be the norm, not the exception,” he added.

The new scheme also seeks to reduce bureaucratic bottlenecks by streamlining registration and payment processes while minimising discretionary decision-making.

Sarpong noted that the initiative supports the government’s broader digital transformation agenda, aiming to make tax payments in Ghana as seamless as sending a mobile money transfer.

SA/MA

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