The Ghana Revenue Authority has finished automating the Tax Clearance Certificate (TCC), which is scheduled to go into effect in October 2022, according to Vice-President Dr. Mahamudu Bawumia.
Dr. Bawumia claims that the action will encourage tax compliance while making tax payment less onerous.
Speaking during the 10th Annual International Tax Conference organized by the Chartered Institute of Taxation on August 24, 2022, he noted that the issue of alleged malpractices of some tax officials would become a thing of the past when the system is unveiled.
“For the purpose of promoting tax compliance, the Commissioner-General has maintained a system of Tax Clearance Certificates (TCC) in accordance with Sections 10 & 11 of the Revenue Administration Act. This process of obtaining the clearance certificate has been done manually with the issuance of handwritten certificates over the years. It has been characterized by delays in the issuance by GRA, challenges in verifying genuine TCCs by recipients, the use of fake TCCs, and alleged malpractices of some Tax Officials among others.
“It is from this background that I directed the leadership of the GRA to automate the process of obtaining Tax Clearance Certificates and I am glad to announce to you that this process has been completed and will go live by October,†the Vice President was quoted by myjoyonline.com.
The Vice President also mentioned that the platform will ensure that there are no outstanding tax returns and payments.
“The electronic copy Tax Clearance Certificate is also sent to the requestee- a third Party who has demanded the Certificate. Unsuccessful applicants are then served with reasons for their denial of the automatic TCC.
“From the foregoing, it is evident the issue of fake TCC will be a thing of the past, delays would be eliminated, and there would be enhanced transparency through the automatic verification and electronic issuance of the TCC to the Taxpayer and the requesting institution,†he stated.