Ghana’s VAT system changed on 1 January 2026 under the Value Added Tax Act, 2025 (Act 1151). The registration threshold moved from GHS 200,000 to GHS 750,000, the COVID-19 levy was scrapped, and NHIL and GETFund are now creditable as input tax instead of stacking on top of your costs.
This calculator does two things. First, it checks whether your business is required to register for VAT. Second, it works out the exact VAT, NHIL and GETFund on a transaction, and nets that against your input tax credit to show what you likely owe the GRA for the period.
Use the free Ghana VAT & Input Tax Calculator at MetricSuite.tools to calculate this instantly, no signup required.
Check whether your business must register for VAT under the Value Added Tax Act, 2025 (Act 1151), effective 1 January 2026.
VAT is 15%, NHIL is 2.5% and GETFund Levy is 2.5%, all charged on the same taxable value, for a combined effective rate of 20%.
How VAT registration works in 2026
If your business supplies goods and your annual taxable turnover is GHS 750,000 or more, you are required to register for VAT. Below that, registration is voluntary, mainly useful if you want to reclaim input tax on your purchases.
Services businesses are not covered by this fixed threshold in GRA’s published guidance. Registration for services generally follows when you start taxable activity rather than a single annual figure, so confirm your specific position with GRA before deciding not to register.
How the VAT, NHIL and GETFund calculation works
Under the reform, VAT (15%), NHIL (2.5%) and GETFund Levy (2.5%) are all calculated on the same taxable value, for a combined effective rate of 20%. This replaced the old cascading system where levies were added to cost first and then VAT was charged on top.
For example, a GHS 1,000 taxable value now produces GHS 25 NHIL, GHS 25 GETFund and GHS 150 VAT, for a GHS 1,200 inclusive price. NHIL and GETFund paid on your qualifying business purchases can now be claimed back as input tax, the same way VAT always could.
If you also run payroll in Ghana, pair this with the free PAYE Calculator at MetricSuite.tools to calculate this instantly, no signup required, so your VAT and payroll obligations are both covered from one visit.
Filing and payment deadlines
VAT and levies returns, and any payment due, must be filed by the last working day of the month following the return period. The calculator estimates your next likely deadline automatically, but confirm the exact date with GRA if it falls close to a public holiday.
KEY TAKEAWAYS
- The VAT registration threshold for goods businesses rose from GHS 200,000 to GHS 750,000 on 1 January 2026.
- VAT, NHIL and GETFund are now all calculated on the same taxable value: 15% + 2.5% + 2.5%, a combined 20%.
- NHIL and GETFund are creditable as input tax again, reducing the net cost of doing business.
- The COVID-19 Health Recovery Levy and the VAT Flat Rate Scheme have both been abolished.
- Services businesses should confirm their registration position directly with GRA rather than assume the goods threshold applies to them.
FAQ
What is Ghana’s VAT registration threshold in 2026?
For businesses dealing in goods, the threshold is GHS 750,000 in annual taxable turnover, up from GHS 200,000 under the Value Added Tax Act, 2025 (Act 1151), effective 1 January 2026. Services businesses should confirm their position with GRA, as this fixed threshold applies to goods businesses in GRA’s published guidance.
Do NHIL and GETFund still apply on top of VAT?
Yes. NHIL (2.5%) and GETFund Levy (2.5%) are both still charged alongside the 15% VAT rate, all calculated on the same taxable value, for a combined effective rate of 20%.
Can I claim input tax credit on NHIL and GETFund now?
Yes. Under the 2026 reforms, NHIL and GETFund were recoupled with VAT, meaning VAT-registered businesses can now claim these levies as input tax credit on qualifying purchases, the same way they already could with VAT.
Is the VAT Flat Rate Scheme still available in Ghana?
No. The 3% flat rate scheme for goods and the 5% flat rate scheme for immovable property were both abolished under Act 1151, in favour of the unified VAT structure.
When are VAT returns and payments due in Ghana?
: Returns and any payment owed are due by the last working day of the month following the tax period. For example, a September return is due by the last working day of October.
REFERENCES
- Ghana Revenue Authority, “VAT” (2026 reforms overview, rates, worked example, registration threshold): https://gra.gov.gh/domestic-tax/tax-types/vat/
- Ghana Revenue Authority, “Notice to All VAT Registered Taxpayers” (official reform summary): https://gra.gov.gh/news/portfolio/notice-to-all-vat-registered-taxpayers/
- Ghana Revenue Authority, VAT Administrative Guidelines for the Value Added Tax Act, 2025 (Act 1151), Guideline No. GRA/AG/25/002: https://gra.gov.gh/wp-content/uploads/2026/01/VAT-Guidelines-for-VAT-ACT-1151.pdf (scanned PDF, not machine-readable, cited for the record but not directly quoted from)
- Parliament of Ghana repository, full text of the Value Added Tax Act, 2025 (Act 1151): https://repository.parliament.gh/handle/123456789/4530
- The High Street Journal, “GRA Clarifies VAT Registration Thresholds and Flat Rate Transition Under Act 1151” (on-record confirmation from GRA that services have no turnover threshold): https://thehighstreetjournal.com/gra-clarifies-vat-registration-thresholds-and-flat-rate-transition-under-act-1151/
- KPMG, “Ghana: Tax measures in 2026 budget” (independent corroboration of the threshold and levy changes): https://kpmg.com/us/en/taxnewsflash/news/2025/11/ghana-tax-measures-2026-budget.html