The Ghana Revenue Authority (GRA) is finalising a package of administrative reforms aimed at bringing more informal and women-led businesses into the tax net while making compliance simpler and linking taxation to long-term financial security.
The reforms include a simplified four-step mobile tax application, a pension component under the modified taxation regime, an increase in the turnover threshold for small businesses, and an advanced duty payment arrangement to support importers.
The initiatives were highlighted at the 2026 Society of Women in Taxation (SWIT) Conference in Accra, where tax officials and stakeholders discussed measures to address persistent compliance and financial inclusion challenges facing micro, small and medium-sized enterprises (MSMEs), particularly businesses operated by women and informal-sector workers.
Commissioner-General of the GRA, Anthony Kwasi Sarpong, said the Authority was collaborating with the Ministry of Finance to incorporate a retirement savings mechanism into the modified taxation framework.
Under the proposed arrangement, informal-sector operators and other eligible small businesses paying the 3 percent modified tax would have a portion of the amount channelled into a dedicated pension scheme.
“In the 3% modified taxation scheme that we are introducing, we are working with our mother ministry, Ministry of Finance, to include a pension component,” Sarpong explained.
He said the arrangement was intended to ensure that taxation did not only generate revenue for the state but also provide a form of financial protection for informal-sector workers who often lack access to formal pension arrangements.
“If you are in the informal sector and you pay that 3% tax, a portion of it will be taken out from the government revenue and put into a pension scheme for that informal woman or taxpayer. Through taxation, we have to empower and protect their future,” he added.
Simplified tax application
As part of efforts to reduce the administrative burden on micro and small businesses, the GRA has developed a mobile application that allows eligible taxpayers to calculate and meet their modified tax obligations through a simplified process.
The application requires users to provide their business or personal name, Ghana Card number and estimated annual turnover, after which the system calculates the applicable 3 percent modified tax liability.
The four-step process is designed particularly for micro-entrepreneurs who may not have formal accounting systems or access to professional tax advisers.
The reforms follow an increase in the relevant turnover threshold from GH¢200,000 to GH¢750,000, bringing more micro and small enterprises within the simplified framework while reducing the compliance burden associated with more complex tax requirements.
Under the modified taxation arrangement, eligible informal traders and sole proprietors with turnover up to GH¢750,000 would be subject to the standardised 3 percent rate.
Broader reforms for small businesses and importers
The GRA’s reform package also includes measures intended to improve access to finance for businesses engaged in commercial and cross-border trade.
An advanced duty payment arrangement is expected to enable eligible importers to obtain bank financing to meet import-duty obligations at the port, potentially easing cash-flow constraints that can delay the clearance of goods.
The combined measures are therefore intended to address several barriers confronting small businesses, including tax complexity, limited access to retirement savings, and financing constraints associated with international trade.
