Highlights of Value Added Tax (Amendment) Act, 2017 (Act 948) has been saved
Highlights of Value Added Tax (Amendment) Act, 2017 (Act 948)
By this amendment, banks are no longer required to charge VAT/NHIL on their service fees. Real estate developers are also exempted from charging VAT/NHIL on sale of immovable properties. Similarly, domestic air transport operators do not have to charge VAT/NHIL on airline tickets whiles VAT/NHIL on crude oil and residual fuel oil has been specifically exempted.
Ghana’s Parliament has enacted the Value Added Tax (Amendment) Act, 2017 (Act 948) to amend the Value Added Tax Act, 2013 (Act 870).
The amendment gives legal backing to a new VAT Flat Rate Scheme (VFRS) that will facilitate collection of VAT & National Health Insurance Levy (NHIL) on the supply of goods by wholesalers and retailers; and classifies the supply of financial services, domestic air transportation and sale of immovable property by real estate developers as exempt supplies.
We are pleased to share with you the attached highlights on the recent amendment to the Value Added Tax Act.