Most MDAs avoid VAT invoices - - Commissioner

Wa, Nov. 14, GNA- Most government Ministries, Departments and Agencies (MDAs) who are engaged in procurement and payment for services and other official transactions avoid Valued Added Tax (VAT) Service invoices thereby preventing smooth generation of taxes by the Service. Instead, these MDAs prefer non-VAT invoices in order to manipulate transactions to their advantage.

Mr J.F. Otartey Blankson, Commissioner of VAT service disclosed this to the Ghana News Agency (GNA) at Wa on Friday during his tour of the Upper West Region.

He said during his tour of the Ashanti, Brong-Ahafo, Northern and Upper East Regions and series of meetings with traders, the issue featured prominently in almost all the Regions.

Mr Blankson said the service would organise a meeting with the Ministry of Local Government and Rural Development (MLGRD) to stem some of these malpractices at all levels of governance.

The Commissioner said the service had also established complaints and information desks throughout its offices and called on the public to report their problems to regional offices.

Mr Blankson said the service would intensify its educational programme throughout the country to ensure total adherence to the VAT laws. "We have also observed that most businesses which should have been duly registered were not, while most of the registered enterprises were issuing the invoices only on demand", he added.

The Commissioner mentioned Hotels and Restaurants as some of the businesses that are mostly non-compliant, and gave the assurance that more personnel would be employed to monitor the activities of the offending businesses.

Mr Blankson added that series of workshops and seminars were being organised for Judges and Magistrates to understand their activities and punish tax offenders.