Management of major retail outlets in Accra, including Melcom and Palace Mall, have confirmed that the implementation of the new Value Added Tax (VAT) regime has led to noticeable reductions in the prices of some goods.
The revised VAT structure, announced in the 2026 Budget presented by the Finance Minister in November 2025, took effect on January 1, 2026. The changes include the removal of the COVID-19 Health Recovery Levy and a marginal adjustment to the VAT rate.
During a monitoring visit by officials of the Ghana Revenue Authority (GRA), customers at several supermarkets presented receipts showing the impact of the new VAT system.
The inspection team was led by the Commissioner-General of the GRA, Mr Anthony Sarpong.
Speaking during the visit, Head of Audit at Melcom, Mr Sushil Jha, said the new tax rate had already translated into price reductions for consumers.
“We started applying the new rate from the beginning of the year, and customers are already benefiting from it,” he said.
“We are seeing an average price reduction of about 1.9 per cent due to the removal of the COVID-19 levy and the slight reduction in VAT. This is good news for our customers and for business, and we appreciate the efforts of the government and the GRA.”
Similarly, Head of Accounts at Palace Mall, Mr Joshua Israel, said the revised VAT rate had been fully integrated into the company’s payment systems, ensuring customers immediately enjoyed the benefits of the tax adjustment.
He noted that the supermarket had complied fully with the new directive and that customers were already paying lower prices at the tills.
Mr Sarpong, who was accompanied by the Commissioner of the Domestic Tax Revenue Division, Dr Martin Yamborigya, and other senior GRA officials, said the visits formed part of efforts to ensure compliance and transparency in the application of the new VAT regime.
The team also visited Orca Deco along the Spintex Road, where management confirmed that prices of many items had been adjusted downward in line with the new tax structure.
Several customers at the outlet also confirmed that their receipts no longer reflected the COVID-19 levy, reinforcing claims that the new VAT measures were being implemented as announced.
The GRA said it would continue monitoring retail outlets nationwide to ensure businesses pass on the benefits of the revised VAT system to consumers.
