Ghana is aiming to double its tax revenue to GH₵ 360 billion by 2028 as part of a broader strategy to strengthen domestic resource mobilisation and reduce dependence on external financing. The plan, announced by Acting Commissioner-General of the Ghana Revenue Authority (GRA), Mr. Anthony Sarpong, signals a major policy shift in response to tightening global credit conditions and fiscal pressures at home.
- Private Sector Veteran Turns Public Reformer
- Digitization and Data as Strategic Anchors
- Informal Sector Reform, Flat Taxes in Play
- From Enforcement to Engagement
- Broadening the Net: Professionals, VAT, and Offshore Income
- Integration and Interoperability: The Next Frontier
- Outlook: “We Can Exceed These Targets”
In an interview with The High Street Journal and Norvan Reports Via X following his recent appointment, Mr. Sarpong said the GRA aims to increase the country’s tax-to-GDP ratio from the current 13.8% to at least 17–18% in the medium term. This goal, he noted, aligns with the broader economic reset agenda set by President John Dramani Mahama, with a focus on strengthening fiscal sustainability without suffocating private sector growth.
“Our target is simple: GH₵ 360 billion by 2028,” Sarpong said. “We call it ‘360 by 28’, a bold move to more than double the GHS 153 billion target for 2024, using data, technology, and collaboration to expand the tax net.”
Private Sector Veteran Turns Public Reformer
A former private sector advisor, Mr. Sarpong steps into the GRA role with deep experience in tax consulting and fiscal strategy. While new to the public service helm, he said the terrain is familiar. “I see this as an opportunity to implement many of the reforms we used to recommend,” he remarked, noting that the GRA team is “young, talented, and ready for transformation.”
Digitization and Data as Strategic Anchors
Central to the GRA’s plan is a sweeping digital transformation aimed at automating tax administration and leveraging data analytics to identify untaxed individuals and entities.
“We are in a digital age, and GRA cannot be analog,” Sarpong asserted. He emphasized that Ghana’s Ghana Card system is now fully integrated with tax identification numbers, enabling real-time linkage with business registrations and financial transactions.
The GRA also intends to utilize data from mobile money platforms and online marketplaces to track income activity across the informal and gig economies. “Instagram today is a hub of informal business activity, and we are developing AI-powered tools to bring those operators into the net,” he added.
Informal Sector Reform, Flat Taxes in Play
With over 80% of Ghana’s workforce employed in the informal economy, yet contributing just 30% of GDP, the GRA sees significant untapped revenue potential. Sarpong said the Authority will implement simplified tax regimes for small traders and artisans, including a new flat-rate tax system, simplified filing, and mobile-based payment tools.
“The informal sector has long complained of complexity and inaccessibility,” he said. “We’re responding with simplicity, convenience, and respect, not coercion.”
From Enforcement to Engagement
Addressing concerns about heavy-handed enforcement, Mr. Sarpong distanced the GRA from past tactics such as surprise shop closures and aggressive audits. Instead, he underscored a pivot to what he called “customer-centric tax administration,” prioritizing voluntary compliance and trust-building.
“Taxpayers are our customers. We succeed when they grow and thrive,” he said, emphasizing that sustainable tax growth depends on enabling business expansion rather than penalizing it.
Broadening the Net: Professionals, VAT, and Offshore Income
Beyond the informal sector, the GRA will crack down on tax leakage from professional services and high-net-worth individuals. Leveraging third-party data from banks, business associations, and international tax treaties, the Authority plans to enforce compliance on previously overlooked incomes, including overseas earnings of Ghanaian residents.
The Authority is also eyeing VAT reform. A comprehensive review of Ghana’s VAT regime is underway, expected to deliver recommendations for simplifying collection and enhancing compliance. “With population and consumption rising, VAT must become a future-proof revenue tool,” Sarpong noted.
Integration and Interoperability: The Next Frontier
Sarpong acknowledged that institutional data silos pose a threat to the effectiveness of Ghana’s new tax regime. “Yes, you may use your TIN across passport offices, banks, and DVLA, but if systems don’t talk to each other, people still fall through the cracks,” he admitted. He revealed plans for real-time data-sharing protocols between government agencies to ensure seamless enforcement and compliance triggers.
Outlook: “We Can Exceed These Targets”
While the GHS 360 billion goal may appear lofty, Mr. Sarpong expressed confidence that a mix of digital modernization, inclusive policy reforms, and institutional discipline will position Ghana to meet, and potentially exceed, its targets.
“We are not just collecting taxes. We are building the foundation for inclusive national development, schools, hospitals, jobs. Everyone has a stake. Everyone must contribute,” he said.
Key Figures
- 2024 Revenue Target: GH₵ 153 Billion
- 2028 Revenue Target: GH₵ 360 Billion
- Tax-to-GDP Ratio Goal: 17–18%
- Current Ratio (2024): 13.8%
- Informal Sector Share of Workforce: 80%
- Informal Sector Share of GDP: 30%
