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Ghana extends digital VAT collection to mobile payments

By , based on Theghanareport

Ghana extends digital VAT collection to mobile payments

Ghana will apply value added tax collection to mobile payments and other digital means used to pay for foreign services such as Netflix or Spotify. The system will automatically separate the tax portion from the amount paid to the provider, according to Anthony Kwasi Sarpong, cited by TheGhanaReport.

Ghana’s digital system for collecting value added tax (VAT) will cover eligible payments made by mobile phone and other digital platforms, in addition to transactions made by bank card, said Anthony Kwasi Sarpong, Commissioner-General of the Ghana Revenue Authority (GRA), according to The Ghana Report.

The system will cover foreign digital services subject to 20% VAT, including Netflix and Spotify subscriptions, when payment is made through banking systems or other digital means, according to Anthony Kwasi Sarpong.

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