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Ghana VAT Split Payments

  • Nov 25, 2017 | Richard Asquith

Ghana VAT Split Payments

Ghana is the latest country to propose Split Payments on VAT transactions in an attempt to limit fraud.

Split payments involve the payment by customers of the VAT element of the consideration directly to the government – instead of to the vendor.  It has already been adopted in Italy and Austria. The European Union is reviewing a similar mechanism for B2C transactions on marketplace transactions in an effort to combat billions in lost VAT fraud.

The Ghanaian 2018 Budget proposes withholding 7% VAT on payments to government agencies and other nominated buyers.

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VP Global Indirect Tax
Richard Asquith
VP Global Indirect Tax Richard Asquith
Richard Asquith is VP Global Indirect Tax at Avalara, helping businesses understand their compliance obligations as they grow globally. He can be contacted at: He is part of the European leadership team which won International Tax Review's 2019 Tax Technology Firm of the Year. Richard qualified as an accountant with KPMG in the UK, and went on to work in Hungary, Russia and France with EY.