20/11/2025
Ghana Announces Major VAT & Tax Reforms Effective 2026!
The government has introduced sweeping tax changes aimed at simplifying the system, reducing burdens on businesses, and boosting economic growth. Key highlights:
🔹 Unified VAT rate cut to 20% (from 21.9%)
🔹 1% COVID-19 Levy abolished
🔹 Removal of cascading NHIL & GETFund levies
🔹 VAT Flat Rate Scheme (VFRS) scrapped — businesses can now claim input VAT
🔹 VAT registration threshold increased from GH¢200k to GH¢750k
🔹 E-Levy, betting tax & emissions levy to be removed
⏳ Reforms included in the 2026 Budget; rollout targeted for January 1, 2026 pending parliamentary approval.
These changes are expected to ease compliance pressures, reduce costs, and support SME growth.