Use the same zeal for taxes as tithes - Deputy finance minister urges pastors

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  Business and Finance on Thu, Nov 06th, 2025 by Ghanaweb.com

John Nii Kofi Ofori drew a striking parallel between two cornerstone practices of Ghanaian religious life—tithing and tax compliance—urging pastors to bring the same fervor to the filing of national taxes that they bring to the giving of tithes. The call comes amid growing concerns over the tax‑collection shortfall and the noticeable gap in compliance from religious institutions, a sector that contributes significantly to the country’s social fabric and, as Ofori points out, to its fiscal health.

The Call to Action

During the broadcast, Minister Ofori addressed the nation’s pastors and clergy, stating: “We have seen a steadfast dedication to tithing, but there remains a palpable reluctance among some church leaders to meet their statutory obligations to the Ghana Revenue Authority (GRA). We need to apply the same zeal for taxes that you apply for tithes.” He emphasized that the tax system is designed not as a punitive measure but as a framework that sustains public services, infrastructure, and the welfare of all citizens. Ofori also clarified that churches and religious organisations are not exempt from all tax duties. While certain exemptions exist—such as the exemption from corporate income tax for charitable activities—churches must still register, file returns, and pay applicable taxes like Value Added Tax (VAT) on commercial activities that exceed the prescribed thresholds.

Legal Context and Compliance Requirements

Under the Tax Administration Act, 2016 (Act 842), all entities operating in Ghana, including non‑profit and religious organisations, are required to be registered with the GRA and to file annual returns. The Act specifies that non‑profit entities may qualify for exemption from income tax on income derived from charitable activities, but only if they meet stringent criteria and maintain transparent accounting records. Failure to file proper returns or to maintain records can result in penalties ranging from fines to the seizure of assets.

The Deputy Finance Minister cited recent audits conducted by the GRA that uncovered a series of non‑compliant churches—some failing to file returns for the past three years, others operating without proper registration. Ofori warned that “the consequences of non‑compliance extend beyond fines. The state has the authority to prosecute and to impose sanctions that can include the revocation of registration and closure of facilities that are found in violation of tax laws.”

The Impact on the Broader Economy

Ghana’s tax revenue has been a pivotal source of financing for critical national projects, from healthcare to education. The Ghana Revenue Authority’s recent annual report highlighted that the sector’s contribution to the national budget rose by 3.5 % in the last fiscal year, yet the overall collection fell short of projections by 7.2 %. The ministry estimates that increased compliance from religious institutions could help bridge this gap by an estimated 1.8 % of the national revenue. This figure underscores the strategic importance of the ministry’s appeal to pastors: it is not merely about individual compliance but about sustaining the collective economic ecosystem.

Encouraging Responsible Stewardship

Minister Ofori framed his message around the principles of stewardship and moral responsibility. “Just as the church teaches the importance of giving a tenth of one’s earnings to God, it is equally essential that we give our fair share to the state,” he said. He pointed to a series of upcoming workshops that the Ministry of Finance and the GRA will conduct in collaboration with the Ghana Evangelical Fellowship and the Catholic Church’s national council. These workshops aim to educate church leaders on tax registration processes, record‑keeping best practices, and the benefits of tax‑exempt status when properly applied.

A Wider Call for Transparency

In addition to the religious sector, the Deputy Finance Minister highlighted a broader initiative aimed at increasing transparency across all sectors. He announced the launch of a “One-Stop-Shop” for tax filing, which will allow entities—including churches—to submit returns online, access digital payment options, and receive electronic certificates of compliance. The ministry plans to roll out the portal nationwide by the end of the year, with a pilot phase in the Greater Accra and Ashanti regions.

Closing Remarks

Concluding his remarks, Ofori reminded the audience of the moral and civic duty that ties into tax compliance. “The state is a servant of the people. When we do not contribute fairly, we are compromising the collective well‑being of Ghana. As leaders of faith communities, you hold a unique position to influence public good. Let’s set a standard where faith and fiscal responsibility walk hand in hand.”

The Deputy Finance Minister’s message has already sparked discussions in church circles, with several leaders acknowledging the need for greater transparency. The ministry’s initiative to align religious stewardship with national fiscal responsibility could mark a turning point in Ghana’s approach to tax compliance, blending moral guidance with pragmatic governance.