A value-added tax (VAT) is a consumption tax placed on a product whenever value is added at each stage of the supply chain, from production to the point of sale.
How To Calculate VAT In Ghana
You can calculate VAT in Ghana by multiplying the product or service price by the appropriate VAT rate.
We have included the VAT formula for Ghana so that you can calculate the VAT manually or update your systems with the relevant VAT rates in Ghana.
The latest VAT rates in Ghana for 2021 are displayed in the table below the VAT formula. For those who prefer to use the Ghana VAT Calculator rather than calculate VAT manually, we have included a step-by-step guide to using the calculator for quick VAT calculations and more detailed VAT calculations which include multiple products and or services (see the guides under “How to use the Ghana VAT Calculator”).
How to use the Ghana VAT Calculator
You can view the calculator inline or full screen. The inline view displays the calculator surrounded by the normal menus and links to other tools and supporting information.
The full screen view removes or the unnecessary information so you can focus solely on using the Ghana VAT Calculator.
The following step-by-step guides to calculating VAT online with the Ghana VAT Calculator covers all the functions within the VAT calculator:
How to complete a Quick VAT Calculation
Select Normal View or Full Screen View. S
elect “Quick VAT Calculation”.
Enter the Product/Service Price.
Enter the Appropriate VAT Rate.
Press “Calculate VAT”.
The Ghana VAT Calculator will provide a table which specifies the product/service price, the product/service VAT amount due and the total cost of the product or service in Ghana.
You can print/email this table as required.
How to complete a Detailed VAT Calculation
Select Normal View or Full Screen View.
Select “Detailed VAT Calculation”.
[Optional] enter the name of the product or service for which you wish to calculate VAT.
Enter the number of units being sold (3 bags, 5 SEO guest post packages, 2 new cars, 1 annual tax return etc.).
Enter the price of the product / service detailed in step 3.
Select the relevant VAT rate that applies to your goods, product, or service in Ghana Click “Add to VAT Table” Ghana VAT Calculator will add your product/service to the Ghana VAT Table.
You can then add more products and/or services as required. Each time you add new information, the total amount will be updated so you can see the total costs of goods, products, and services in Ghana inclusive and exclusive or VAT.
If you make a mistake or simply want to remove an entry from the Ghana VAT Table, click on the “Del” button adjacent to the line entry that you wish to remove.
When items are removed from the VAT table, the calculator will automatically update the associated figures and recalculate VAT, the total cost of goods, etc. Please note that the Ghana VAT Calculator is designed to allow you to toggle between quick and Detailed calculations without losing any data that you add to the Detailed VAT Table.
This is useful if you need to check the individual VAT amount on one unit (a single product or service) before adding it to the list of items in the VAT table.
More Good Calculators for Ghana If you found this information about VAT in Ghana useful and liked our free online VAT calculator for Ghana then you will probably find the following calculators and supporting Ghana tax tables useful.
How do I calculate inclusive VAT?
The price exclusive of VAT can be converted into the price inclusive of VAT by applying the following formula. Calculation rule: (Amount exclusive of VAT) * (100 + VAT percentage as a number) / 100 = Amount inclusive of VAT.
What percentage is VAT?
VAT rates for goods and services
| % of VAT | What the rate applies to | |
|---|---|---|
| Standard rate | 20% | Most goods and services |
| Reduced rate | 5% | Some goods and services, eg children’s car seats and home energy |
| Zero rate | 0% | Zero-rated goods and services, eg most food and children’s clothes |