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Home Tech News Africa Tech News

Meta to apply VAT tax, levies on advertising in Ghana

Felicia Akindurodoye by Felicia Akindurodoye
July 26, 2023
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Meta, owners of Instagram, Facebook, and Whatsapp, will implement Ghana’s VAT rates across all of its advertising platforms, starting on August 1, 2023,

The engine behind the News on Meta

According to the help page of Meta’s website, all Meta advertisements that are placed in Ghana are subject to a value-added tax (VAT) as well as levies at the applicable local tax and levy rates. 

This will apply to advertisers whose businesses have Ghana specified as the ‘Sold To’ nation or whose personal addresses are currently configured to be in Ghana.

Read also: Meta launches open source language model Llama 2

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Operational procedures 

Users who are registered for VAT in Ghana will be required to enter their details, including their VAT/TIN number, within the context of the payment settings.

According to Meta, the VAT identification number will be displayed on ad invoices in the future. Whenever a user is charged for ads, including Meta ads, all applicable VAT and levies will be applied to the total amount. This is the case regardless of whether the user is purchasing the ads for personal or commercial use.

The overarching context

The Ghana Revenue Authority has been taking steps to expand its tax net in order to meet its goals and achieve its objectives. This has included the use of electronic invoices as well as the construction of a framework for the implementation of taxation on internet businesses that are owned by foreign corporations in Ghana.

The figures

The value-added tax rate in Ghana is currently set at 15%. Other taxes and levies that are assessed include the GetFund Levy (2.5%), the National Health Insurance Levy (2.5%), and the COVID Levy (1%).

Google Kenya to Charge 16% VAT on taxable goods and services

About Facebook and Instagram

The American tech giant Meta Platforms owns Facebook, an online social media and networking tool. Mark Zuckerberg made it in 2004.

Facebook is a website where people can create free profiles and meet online with friends, coworkers, and people they don’t know. It lets people share photos, songs, videos, articles, and their own ideas and thoughts with as many people as they want.

By signing up, you can connect to the world and get all the information you need. You can find your friends and ask them to connect. You can tell all of your friends about every part of your personal life. It gives you a way to talk to other people.

Digital ads are its main way of making money. Because of the huge number of users and the spread of social media, advertisers big and small see Meta as a great place to show ads to viewers.

Instagram is a free app for iPhone and Android that lets you share photos and videos. People can add photos or videos to our service and share them with their followers or a small group of friends. They can also look at, write on, and like Instagram posts that their friends have shared.

With 1,000 followers, an Instagram account makes an average of $1,420 per month and up to $100 per paid post. But Instagram doesn’t pay influencers directly, so even if you don’t have 1,000 followers yet, you can start making money as soon as you get your first advertising deal or join an affiliate programme.

Instagram’s main goal is to give people a place to share their pictures and videos by adding styles, filters, and effects to them.

Tags: GhanaleviesMetaVAT tax
Felicia Akindurodoye

Felicia Akindurodoye

Felicia Akindurodoye is an experienced writer and researcher, whose watchword is originality.

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