GRA Launches Sustained Tax Education and Modified Taxation Scheme to Broaden Ghana’s Tax Net

Ghana has taken a major stride in strengthening its domestic revenue mobilisation with the launch of two landmark initiatives — the Sustained National Tax Education Programme (SNTEP) and the Modified Taxation Scheme (MTS) — designed to deepen voluntary compliance and simplify tax payment processes across the country.

The colourful ceremony, held at the Mövenpick Ambassador Hotel in Accra November 5, 2025, brought together ministers of state, members of the diplomatic corps, development partners, business leaders, and civil society representatives, all gathered to witness what many described as a new dawn in Ghana’s fiscal transformation.

Delivering the keynote address on behalf of His Excellency John Dramani Mahama, President of the Republic of Ghana, the Chief of Staff, Mr. Julius Debrah, described the launch as a renewed social contract between the state and its citizens.

President Mahama, in his address, expressed excitement about the launch of the two flagship programmes of the Ghana Revenue Authority — the Sustained National Tax Education Campaign and the Modified Taxation Scheme — noting that building trust is essential to sustaining every vibrant tax system.

He announced a directive to end all service agreements between the Ghana Revenue Authority and the Strategic Mobilisation Unit until the Office of the Special Prosecutor concludes its processes, underscoring the government’s commitment to transparency and accountability.

He stated that revenue mobilisation is the backbone of national development, influencing a country’s ability to invest in infrastructure, social programmes, and economic stability.

In Ghana, the role of the Ghana Revenue Authority, he said, has never been more critical, especially at a time when the country faces fiscal risks, relatively high inflation, and public debt.

“The people of Ghana have given us a mandate to restore the country, and with the full effort of our Finance Minister, Dr. Cassiel Ato Forson, we are committed to stabilising and restructuring the economy. We are on track to make Ghana’s economy great again,” he affirmed.

The President recalled that in this year’s Budget Statement, the Minister of Finance indicated the need for a sustained and aggressive tax education strategy aimed at creating nationwide tax awareness and promoting voluntary compliance.

He expressed his delight that the GRA had developed an implementation strategy under the theme “Promoting Voluntary Compliance through Sustained Tax Education.” “Today,” he said, “we gather not just to launch an initiative but to reaffirm our collective commitment that every citizen, resident, enterprise, and stakeholder in Ghana has a stake in our common future, and that our tax system must be understood, trusted, and sustained by all.”

He stressed that Ghanaians must move from seeing tax as a burden to viewing it as an investment in nation-building.

He further noted that the country must take bold steps to generate enough internal revenue to fund its developmental projects.

“I do admit that attaining complete voluntary compliance is a challenge, but I believe we have taken too long to reach that destination.

This campaign is an essential tool to help us speed up our journey,” he said.

The President urged all citizens and residents to voluntarily declare and pay adequate taxes to ensure national development, adding that directives would be issued from his office to ensure full cooperation across government agencies.

President Mahama emphasized that the Sustained Tax Education Campaign would employ a variety of educational strategies and tools to ensure that taxpayers and the general public are well-informed about their duties, obligations, rights, and the benefits of voluntary compliance.

He described tax education as a key pillar in building public understanding, noting that when people understand, they are more likely to comply — not out of fear but out of conviction and commitment.

He added that transparency and fairness enhance legitimacy in taxation, acknowledging that some citizens remain skeptical, asking, “What do I gain from paying taxes, or why should I pay when others avoid it?”

The President urged that the campaign must confront these questions head-on. “Trust,” he said, “is built by consistency, by clear communication about how tax revenues are used, and by public reporting of outcomes such as roads built, hospitals renovated, and classrooms furnished.”

He further reiterated the importance of accountability and equity, noting that taxpayers must see officials as stewards, not opportunists.

“No one should carry a disproportionate burden,” he added. “Let’s show some morality when it comes to equity in the collection of taxes.”

He directed the Ghana Revenue Authority to carry the campaign across the entire country, creating opportunities for citizens and residents to appreciate the essence of voluntary compliance.

Expressing delight at the simultaneous rollout of the Modified Taxation Scheme, he explained that the new framework is aimed at broadening the tax net so that every taxable income is captured.

“We must all contribute our fair share in taxes to be able to boldly demand accountability from our government. It should not always be what my country can do for me, but what I can also do for my country.”

To illustrate, he likened the nation to a family putting resources into a communal pot for development.

“If only 20% of those eligible are contributing, how feasible will it be to evenly develop the entire family?” he asked.

Commending the GRA for its mandate execution, the President noted that the Authority had achieved significant progress in 2025, collecting GH¢136 billion as of September against a target of GH¢130.2 billion — a positive deviation of GH¢347 million.

He expressed full confidence in the GRA Board and the Acting Commissioner-General Mr. Anthony Sarpong, that the year would close on a positive note.

He reminded the audience that his administration had fulfilled its promise to remove nuisance taxes within its first 120 days — including repealing the E-Levy and pension tax.

Looking ahead, he urged the Authority to pay attention to players in the night market economy in alignment with the 24-hour economy initiative, emphasizing that some businesses thrive at night and must not escape the tax net.

He assured that the Ministry of Finance was committed to supporting GRA’s adoption of enhanced technology to simplify filing and payment processes, improve transparency, and promote voluntary compliance.

“As we launch today an initiative that goes to the heart of nation building, we are launching a campaign that seeks not only to raise revenue, but also to raise awareness, raise responsibility, and raise hope,” President Mahama said.

“Let us imagine a Ghana where a teacher in a rural village has a decent classroom thanks to tax revenue, a nurse in a district hospital has the equipment she needs because of sustained funding, and a young graduate finds a job in a growing enterprise because the business environment has improved.”

He concluded by urging Ghanaians to become ambassadors of the campaign, talking about it, attending the sessions, and helping others understand the gospel of taxation.

“Together we can make this not just a policy initiative but a cultural transformation — building the happy taxpayer energy.

On this note, I officially welcome the Sustained National Tax Education Campaign and the Modified Taxation Scheme. May they advance our shared aspirations, strengthen our collective fortunes, and deepen our national unity. God bless our homeland Ghana.”

Adding further perspective, Hon. Seth Terkper, Economic Advisor to the President and a former Minister of Finance, traced the Modified Taxation Scheme to reforms that began about a decade ago.

He explained that it evolved from efforts to simplify income taxation and give small businesses fairer and more predictable frameworks. “The Modified Taxation Scheme has its roots in reforms we began about ten years ago,” he said. “It evolved from the need to simplify the income tax structure and give small businesses fairer, more predictable taxation.”

He clarified that the new scheme replaces the presumptive income tax system, making it easier for small and medium enterprises to comply through digital and transparent means. “It is a new world,” he noted.

“Every new service simplifies the tax system and makes it more inclusive. This scheme will bring structure, fairness, and accessibility to informal and small business taxpayers.”

Mr. Terkper emphasized that this reform marks a continuation of Ghana’s journey toward a fairer and more efficient tax administration, adding, “By focusing on simplicity and trust, we can encourage businesses — even those just starting out — to register and comply voluntarily.

This is not just a policy adjustment; it is a practical evolution that will strengthen our tax base and support sustainable development.”

In her remarks, Hon. Elizabeth Ofosu-Agyare, Minister for Trade, Agribusiness and Industry, congratulated the GRA on the twin launch, describing it as a significant milestone in Ghana’s collective drive for economic inclusiveness.

“In today’s economic landscape, tax education is not just a technical exercise — it is a shared goal of inclusive development,” she said.

“When citizens understand their tax obligations, we unlock potential for investment in infrastructure, healthcare, education, and industrial transformation.”

She pledged her Ministry’s collaboration with the GRA to make tax education accessible across all regions and sectors, especially within the informal economy.

“A well-informed taxpayer is a compliant taxpayer,” she affirmed. “Let us encourage our dynamic business community to embrace taxation as both a civic duty and a strategic investment in Ghana’s future.”

She concluded by calling for continuous stakeholder dialogue to ensure that taxpayer feedback informs future reforms.

Delivering the appreciation address, Ms. Elsie Appau-Klu, Esq., Technical Advisor to the Commissioner-General and Coordinator of the Sustained National Tax Education Programme, expressed the GRA’s profound gratitude to all dignitaries and partners present.

“We are deeply honoured by the presence and leadership of His Excellency the President, represented by the Chief of Staff,” she said.

“Our systems are ready, our staff trained, and our strategy refined — this is not theoretical readiness; it is practical readiness to deliver.”

She acknowledged the continued guidance of the Finance Minister, Board Chair, Commissioners, and organising committee members, as well as the invaluable support of development partners and trade associations.

“We call on every Ghanaian to join us — know your taxes, pay your taxes, and let’s develop Ghana together,” she said.

The Sustained National Tax Education Programme will run over three years, combining media campaigns, community outreach, and institutional partnerships to build a stronger tax culture across Ghana.

The Modified Taxation Scheme introduces a 3% flat tax rate for micro and small enterprises earning up to GH¢500,000 annually, with simplified registration and payment through digital platforms using the Ghana Card and GPS address system.

Together, the two programmes mark the beginning of a new era in Ghana’s fiscal transformation — one driven by education, technology, trust, and citizen participation.

 

Source:Joseph Wemakor