10 business managers grabbed for non-issuance of VAT invoices to customers

Ten business operators were yesterday arrested for failing to issue certified Value Added Tax (VAT) invoices to their customers.

Comprising three Lebanese and four Ghanaians, the operators run Sika Kroabea Company, MS Thakkar Overseas Ltd, The Best Five Co. Ltd, City Appliances, Add Pharmacy and Panacea Pharmacy and B-Zigi Cosmetics.

The other businesses are Ben­laud Enterprise, Bread Boutique Dansoman and Preymann Dan­soman, all in Accra, and Unicom Chemist Limited, also at Dan­soman, which was closed down because the operators were not around.

The arrests by the taskforce of the Ghana Revenue Authority (GRA), formed part of a VAT enforcement exercise, targeting 93 businesses, which were not com­plying with the VAT laws.

They were handed over to the Criminal Investigations Depart­ment (CID) of the Ghana Police Service, to assist in investigations.

Speaking to journalists during the exercise in Accra, Joseph Annan, Accra Central Area Enforcement Manager of GRA, said following the arrest, an assessment would be conducted to determine the exact tax amount the businesses have evaded.

He said the undercover investi­gation by officials of the author­ity, who visit shops to purchases items to find out if the businesses were complying with VAT laws, noted that the seven businesses had violated the laws.

Mr Annan reminded the public that it is an offence for a regis­tered taxpaying business to avoid the issuance of VAT invoice to customers, who purchase their services.

Further investigations conduct­ed by the GRA, he stated, showed that some other businesses, which were not part of the 93 business­es earlier identified, were also engaged in VAT illegalities.

Mr Annan cautioned businesses involved in VAT malpractices to stop or face the sanctions associ­ated with VAT non-compliance when caught.

The GRA, he noted in the coming weeks would focus on the businesses that have failed to issue certified VAT invoices to their customers, at the point of sale at their outlets.

Mr Annan called on the public to request and insists on VAT invoices when they patronise goods and services of businesses registered with the GRA.

“We all have a role to play by requesting for VAT invoices and requesting that people do the right thing and contribute to reve­nue mobilisation,” he added.

Mr Annan said the exercise was to enable the GRA meet its reve­nue target of GH¢106 billion for 2023 of which the Domestic Tax Revenue Division is to collect 70 per cent of the expected amount.