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Fri, Apr

NO TAX NUMBER, NO BUSINESS - GRA

Business & Economy

The Ghana Revenue Authority has served notice that it has begun enforcing a 'No-Taxpayer- Identification Number, No Business Transaction' policy. The enforcement of the mandatory TIN by the Authority was effective on April 1, 2018.

The Ghana Revenue Authority has served notice that it has begun enforcing a 'No-Taxpayer- Identification Number, No Business Transaction' policy. The enforcement of the mandatory TIN by the Authority was effective on April 1, 2018.

 

The Commissioner-General of GRA, Emmanuel Kofi Nti, revealed that under the policy, persons without the TIN would not be allowed to transact any business.

He gave the notice at a media briefing on the enforcement of the Taxpayer Identification Number in Accra.

Mr Kofi Nti stated that the move was to ensure that all eligible persons fulfil their tax obligations. Additionally, it is intended at broadening the tax net and also to enable the revenue administration monitor all transactions made by taxpayers.

The Commissioner-General revealed that the Revenue Administration Act, 2016 (Act 915) gives the legal backing that all taxpayers and persons who transact official business with government and private organizations are required to have Taxpayer Identification Numbers.

“The RAA mandates the Commissioner-General to set up a Taxpayer Identification Numbering system for the purpose of identification of taxpayers and promoting tax compliance,” he pointed out.

Mr Kofi Nti listed the GRA, Controller and Accountant General’s Department, Lands Commission, Passport Office, Banks, Insurance companies and other financial institutions, as well as manufacturing companies, as some of the institutions to which the TIN applies.

He, therefore, emphasized, “one cannot clear goods from the port, register your land documents with the Land Commission, open a bank account, file a case at the courts, obtain a passport from the Passport Office, bid for contract from government agencies” with TIN.

He added: “One cannot obtain a tax clearance certificate from the GRA, obtain a driver's license and register a vehicle at the DVLA, conduct business with Ministries, Departments and agencies and they as well cannot conduct business with MMDAs” without TIN.

Mr Kofi Nti further disclosed that, so far, the Authority had issued 1,090,338 numbers since the introduction of the regime, adding that it was working with the relevant entities to which the TIN applies in order to have more persons registered.

It is in this direction that the Authority urged the aforementioned institutions to modify their forms to include a field for the provision of TIN.

“Consequently, the GRA expects the institutions mentioned to demand for the TIN of their clients before transacting business with them,” Mr Kofi Nti implored.

Furthermore, he debunked claims that registration for the TIN was closed and rather stated that the process of registration was still ongoing, urging non-registered applicants to comply as soon as possible.

Responding to a question on the electronic mode of registration, he pointed out that, even though the GRA would want an electronic process, it was, however, faced with the challenge of validation.

“The electronic area is something of concern to us and, as far as possible, if we can minimize the human interface, that is the best way to go and the main challenge is in the validation and the pictures,” he said.

According to him, the GRA is also collaborating with the Ministry of Foreign Affairs in a bid to make a provision of the TIN to Ghanaians living abroad who would want to do business in Ghana.

The Taxpayer Identification Number is an 11-digit unique number given to identify a person and to enable the GRA credit an individual whenever he or she pays tax.

Applicants are required to a pick up a registration form at any GRA office across the country with coloured photocopies of valid identity card (National ID Card, Voters Card, Driving License or Passport), together with the original ID itself for registration.

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