As part of efforts to clamp down on tax non-compliance, the Ghana Revenue Authority (GRA) on Wednesday shut down Nyankonto Hardware Limited over alleged infractions, including failure to keep proper tax records.
The enforcement exercise, led by the Authority’s Domestic Tax Revenue Division task force, also cited three other companies, Strong Machines Company Limited, Bayu Villa Restaurant and H.E. Jens Company Limited for various forms of non-compliance.
Officials confiscated computers and documents from the affected companies for further investigations and assessment.
Speaking to the media after the operation, a senior GRA official, Mr Joseph Annan, explained that the exercise formed part of efforts to improve Value Added Tax (VAT) compliance and ensure that businesses adhered to the country’s revenue laws.
He said preliminary checks at Strong Machines Company Limited, located on the Spintex Road, revealed that the company was engaged in the selective issuance of receipts.
According to him, the task force retrieved records and machine data as part of a pre-emptive assessment to determine possible tax liabilities.
Mr Annan added that the team later proceeded to Bayu Villa Restaurant at the Airport Residential Area, where it detected that receipts issued by the establishment were printed in Chinese instead of English.
He explained that this contravened provisions of the Revenue Administration Act, which required businesses operating in Ghana to maintain records in English to enable tax authorities to properly verify transactions and assess tax obligations.
Mr Annan stressed that while the Authority did not oppose businesses operating in the country, they must comply with the laws. He noted that keeping records in foreign languages made tax verification difficult.
At Nyankonto Hardware Limited in Oyarifa, he said the team was unable to trace any proper accounting records during the inspection.
As a result, the premises was shut down, while a representative of the company was invited to the GRA offices for further interrogation.
The task force also visited Stone Depot, a marble dealership in Oyarifa, where it found the company to be compliant with VAT regulations after test receipts showed the proper inclusion of VAT and levies.
Meanwhile, H.E. Jens Company Limited, a manufacturer of polyethylene bags operating in the same enclave, was also cited for selective issuance of receipts. Mr Annan said records retrieved from the company would undergo further review.
He explained that the ongoing inspections formed part of the GRA’s broader tax compliance drive, particularly under the Electronic VAT (E-VAT) system, and stressed that physical monitoring and field operations would continue alongside digital tax systems.
He further warned that businesses found to be under-declaring taxes could face immediate audits and possible sanctions.
All four companies cited for non-compliance are Chinese-owned firms operating in the area.
BY CLIFF EKUFUL
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