Tax regime becoming more Data-Driven and enforcement-focused – Report
Ghana’s tax system is evolving into one that is increasingly data-driven, enforcement-focused, and more ambitious than at any other point in modern fiscal history, according to law firm Bentsi-Enchill, Letsa & Ankomah (BELA).
The observation comes as government intensifies domestic revenue mobilisation efforts ahead of the expected conclusion of the International Monetary Fund (IMF) programme in 2026.
In its Tax Outlook 2026 report, BELA noted that the Ghana Revenue Authority’s expanding digital infrastructure—alongside major reforms in value-added tax (VAT) administration and transfer pricing enforcement—is significantly reshaping the country’s tax compliance landscape.
The report is set against the backdrop of Ghana’s ongoing fiscal consolidation under the US$3 billion IMF-supported Extended Credit Facility, secured in 2023 following a severe debt and balance-of-payments crisis.
According to BELA, the tax environment is shifting toward real-time monitoring and stricter compliance enforcement.
“Discrepancies will be detected earlier, scrutiny will be more targeted and tolerance for informal tax positions will narrow considerably,” the firm said, adding that tax oversight is moving from periodic reviews to continuous, data-driven surveillance.
A key driver of this transformation is the rollout of the Integrated Tax Administration System (ITAS) on April 1, 2026. The platform automates tax registration, filing, payment, assessment, and audit processes, while enabling the GRA to cross-check taxpayer data with information from institutions such as banks, the Lands Commission, the Office of the Registrar of Companies, and immigration authorities.
BELA said the system greatly enhances the GRA’s capacity to detect inconsistencies and conduct more targeted audits.
The report also highlighted the nationwide deployment of Fiscal Electronic Devices (FEDs) as a major shift in VAT enforcement. The devices transmit real-time sales data from businesses directly to the GRA, significantly limiting under-reporting and creating a continuous audit trail.
“For businesses within the FED regime, the era in which VAT compliance risk was concentrated in the annual audit cycle is effectively over,” the report stated.
Ghana’s renewed focus on revenue mobilisation follows a decline in the tax-to-GDP ratio to about 13.8 percent in 2022, below the sub-Saharan African average and levels deemed sufficient for sustainable public financing.
Although total tax revenue rose from GH¢113.4 billion in 2024 to GH¢153.5 billion in 2025, BELA cautioned that part of the increase was driven by inflation rather than a broadening of the tax base.
The report further noted that fiscal policy has shifted tax administration from the margins to the centre of economic management following Ghana’s loss of access to international capital markets and its debt restructuring process.
Recent reforms include a new VAT regime introduced in January 2026, which abolished the COVID-19 levy, restructured VAT calculations, and allowed deductions for certain levies previously treated as embedded costs.
The VAT Flat Rate Scheme has also been abolished, requiring many wholesalers and retailers to transition to the standard VAT system with stricter invoicing and reporting requirements.
Sectors expected to face increased scrutiny include mining, oil and gas, telecommunications, financial services, real estate, and import-dependent businesses. BELA also noted intensified transfer pricing audits by the GRA using Country-by-Country Reporting data and international information-sharing agreements.
The report warned that enforcement could become even more stringent if fiscal pressures persist after the IMF programme ends, particularly in the event of revenue shortfalls or external economic shocks.
“In this scenario, the tax system becomes an instrument of short-term revenue extraction rather than long-term economic development,” it cautioned.
However, BELA added that a more stable outlook remains possible if macroeconomic gains are sustained and reforms continue consistently. Inflation declined sharply in 2025, falling to 5.4 percent in December from 23.8 percent at the beginning of the year, while the Bank of Ghana reduced its policy rate by 1,000 basis points to 18 percent.
The firm advised businesses to strengthen tax governance structures, documentation processes, and compliance systems in order to adapt to the increasingly strict enforcement environment and reduce exposure to penalties and disputes.
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