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| Three store managers are detained by the GRA for possible tax fraud. |
Three shop managers were detained by the Ghana Revenue Authority (GRA) taskforce on Wednesday in Accra for allegedly evading tax on the electronic Value Added Tax (VAT) system.
For issuing non-e-VAT invoices, the managers were detained in Kasoa, Achimota, and North Industrial Area.
The three managers were taken to the Customs headquarters to give testimony before being turned over to the Police's Criminal Investigation Department.
The program is a part of a statewide VAT inspection operation that is now underway in order to verify tax compliance and recover money owed to the state.
The GRA's Area Enforcement Manager for Accra Central, Mr. Joseph Annan, stated that the operation finished what the Authority began on Monday to do in order to get rid of tax defaulters.
According to him, the Authority had 50 taxpayers using its e-VAT system when it discovered that some of them weren't issuing invoices that were legally required to be certified by the Commissioner-General.
Every registered VAT taxpayer is required to issue an electronic VAT invoice with the information specified by the Commissioner-General when they provide services or supply goods, according to Section 41 of the VAT Act 2013, (Act 870), as amended by Act 1082 and Act 1087.
Investigations by the Authority showed that some taxpayers were involved in the creation of phony tax invoices or sales receipts, while others had neglected to incorporate the certified invoicing system into the Commissioner-General's of the GRA's invoicing system.
According to Mr. Annan, the VAT Act stipulates that such infractions are punishable by a fine of no more than 100 penalty units, a term of imprisonment of no more than six months, or both, as well as the payment of a fine of no more than GHc50,000, or three times the amount of tax involved.
He added that those who broke the law could also face charges under sections 78 and 82 of the Revenue Administration Act, 2016 (Act 915) that dealt with breaking the law regarding taxes and impeding the administration of the tax system, respectively.
All those found guilty of violating the terms of the tax laws will be prosecuted, the commissioner-general said.
He pleaded with the general public and all VAT payers to report any tax violations to the Authority so that appropriate action could be taken.
