A Chief Revenue Officer at the Ghana Revenue Authority (GRA), Victor Yao Akogo, has urged businesses that suffer losses through fire outbreaks or other unforeseen incidents to report the damage to the Authority, explaining that the value of destroyed or lost goods may qualify as an allowable tax deduction after verification.
Speaking on Joy FM’s Super Morning Show, Mr. Akogo said businesses affected by disasters are entitled to claim the cost of destroyed inventory as an allowable deduction under Ghana’s tax laws.
He explained that affected businesses must first notify the GRA to enable officials to assess and verify the losses before any tax relief can be granted.
“The cost they incurred in acquiring their goods is an expense, and that expense ought to be deducted against the income they earn. We are saying that expense is an allowable deduction, so they should notify the GRA for us to investigate, confirm it and grant it as an allowable deduction,” he said.
According to Mr. Akogo, the relief applies to the cost of goods that have been destroyed or lost, helping businesses reduce their taxable income and preserve resources needed to recover and continue operations.
He advised businesses seeking to benefit from the tax relief to ensure they are properly registered with the GRA.
Mr. Akogo explained that sole proprietors can register using their Ghana Card, while companies are required to obtain a Tax Identification Number (TIN) issued by the Ghana Revenue Authority.
“The Tax Identification Number is mandatory because it is what you use for all tax transactions, including filing returns and paying taxes,” he stated.
He encouraged individuals and businesses that have not yet obtained a TIN to apply through the GRA’s online platform before completing their tax registration.
Mr. Akogo also reminded taxpayers that filing tax returns remains a legal obligation, regardless of whether they generated income during the reporting period.
According to him, businesses that did not make any income are still required to file a NIL return with the Authority.
“If you don’t earn income, you have to make a declaration and file a NIL return. Let us know that you are not liable to any tax. Don’t keep us in the dark,” he said.
He further reminded corporate entities that June 30 is the deadline for filing monthly Value Added Tax (VAT) returns and accounting for VAT collected on behalf of the government.
Mr. Akogo warned that taxpayers who fail to submit their returns by the deadline face a GH¢500 penalty, in addition to GH¢10 for every day the default continues.
He added that all tax returns are now filed electronically through the GRA’s Taxpayer Portal, making it easier for individuals and businesses to meet their tax obligations.
