Government requested the Ghana Revenue Authority (GRA) to liaise with the two power distribution companies to transfer Value Added Tax (VAT) generated from consumers who have exceeded their lifeline power consumption.
In a press release, Finance Minister, Ken Ofori-Atta directed that the Electricity Company of Ghana (ECG) and the Northern Electricity Distribution Company (NEDCO) work with GRA to implement VAT on households that have consumed power above the maximum consumption level specified for block charges for lifeline unit effective January 1, 2024.
“The Electricity Company of Ghana (ECG) and the Northern Electricity Distribution Company (NEDCO) are, hereby, requested to liaise with the Ghana Revenue Authority (GRA) to ensure that the implementation of VAT for residential customers of electricity above the maximum consumption level specified for block charges for lifeline units takes effect on I” January 2024, in line with Section 35 and 37 and the First Schedule (9) of Act 870.
“By a copy of this letter, GRA is requested to ensure that it liaises with ECG and NEDCO for the transfer of the revenues collected from the implementation of VAT on the subject matter as part of its domestic VAT collections,” the December, 12, release read.
Nana Appiah-Kubi/ Ahotoronline.com
