IEAG urges balanced approach in GRA’s clampdown on VAT invoicing non-compliance
The Importers and Exporters Association of Ghana has been closely monitoring the recent operations conducted by the Ghana Revenue Authority (GRA) as part of its efforts to combat non-compliance with the issuance of Value Added Tax (VAT) invoices. In a bid to enforce tax regulations, the GRA has taken action against two Chinese business firms, resulting in the arrest of six managers allegedly involved in the failure to issue VAT invoices despite claims of tax compliance.
While acknowledging the necessity of such measures, the association is urging the GRA to adopt a balanced and friendly approach that avoids inadvertently deterring both existing and potential investors from participating in Ghana’s vibrant business landscape.
The importance of tax compliance cannot be overstated, and the Importers and Exporters Association, as a responsible representative body, unequivocally advocates for its members to prioritize full adherence to the issuance of VAT invoices and the timely filing of VAT returns. Recognizing the onerous tax burdens faced by the business community, the association acknowledges the significance of fulfilling tax obligations as a responsible corporate citizen.
Taxation policies play a crucial role in shaping economic outcomes and fostering an environment conducive to sustainable growth. While businesses contend with the challenges imposed by the tax regime, it is essential to strike a delicate balance between tax obligations and ensuring a conducive business climate that attracts domestic and foreign investment. The Importers and Exporters Association recognizes the need for a harmonious synergy between tax compliance and the facilitation of a thriving business ecosystem.
While commending the GRA’s commendable efforts in enhancing tax compliance, the association calls upon the authority to adopt a more collaborative and educational approach during its enforcement operations. A friendly and constructive engagement between tax authorities and businesses can facilitate greater understanding of tax regulations, provide guidance on compliance, and ultimately foster a positive business environment.
Moreover, the Importers and Exporters Association emphasizes the significance of sustained dialogue and effective communication channels between the GRA and the business community. Regular consultations and open lines of communication can address concerns, clarify tax regulations, and enable a more nuanced understanding of the challenges faced by businesses. By fostering an environment of mutual trust and cooperation, tax authorities can elicit greater voluntary compliance from businesses.
In conclusion, the Importers and Exporters Association of Ghana asserts that tax compliance is a collective responsibility shared by businesses and tax authorities alike. While encouraging its members to fulfill their tax obligations, the association urges the GRA to strike a balanced approach in its efforts to combat VAT invoicing non-compliance.
By adopting a collaborative and educational approach, the GRA can help create a business-friendly atmosphere that promotes investor confidence and supports sustainable economic growth. The Importers and Exporters Association stands ready to work hand in hand with the GRA to achieve a harmonious balance between tax compliance and the fostering of a vibrant business ecosystem in Ghana.
