Commercial banks in Ghana will from Thursday, October 15, 2026, begin collecting a combined 20% tax on payments for Netflix, Spotify, ChatGPT and other qualifying cross-border digital services made with Ghana-issued bank cards, following directives from the Ghana Revenue Authority (GRA).
The 20% is made up of 15% Value Added Tax (VAT), a 2.5% National Health Insurance Levy (NHIL) and a 2.5% Ghana Education Trust Fund (GETFund) Levy. It applies where these taxes are not already included in the advertised price of the service.
The collection is being carried out under the Value Added Tax Act, 2025 (Act 1151), which took effect on January 1, 2026. Under the GRA directives, banks are required to collect and remit the applicable taxes on qualifying digital transactions at the point of payment.
Some banks have already notified customers of the change. Standard Chartered Bank told customers by email that it will start applying the VAT from October 15, 2026, according to Joy Business.
20% tax on Netflix, Spotify and ChatGPT: how it is calculated
The three components are charged on the pre-tax value of the subscription or digital service.
Using a GH¢1,000 subscription as an example, the breakdown is:
- VAT (15%): GH¢150
- NHIL (2.5%): GH¢25
- GETFund Levy (2.5%): GH¢25
- Total tax (20%): GH¢200
- Total amount payable: GH¢1,200 (previously GH¢1,000 where no tax was included)
Customers may also continue to pay any existing bank transaction charges on top of the service price and the tax.
Is the digital services tax a new tax in Ghana?
According to reports by Citi Newsroom, 3News and GhanaWeb, the October 15 rollout does not introduce a new tax on digital services. The tax already exists under Act 1151.
What changes is how it is collected. Instead of relying on foreign digital service providers to charge the tax, banks and payment service providers will now collect it when qualifying transactions are processed and remit it to the GRA.
The GRA says the aim is to improve compliance and make sure taxes on cross-border digital transactions reach the revenue authority. Details of the directive are available from the Ghana Revenue Authority.
Digital services affected by the 20% VAT on bank card payments
Reports list a wide range of services that may be affected, depending on the transaction and how it is treated under the applicable rules:
- Streaming and entertainment: Netflix, Spotify, Disney+, Showmax, beIN Sports
- Productivity software: Microsoft 365, Adobe, Zoom, Google Workspace
- Artificial intelligence: ChatGPT
- Cloud and hosting: Amazon Web Services, Google Cloud, DigitalOcean
- Digital advertising: Google, Meta, TikTok, LinkedIn
- Others: online learning, digital gaming, VPN and cybersecurity services, travel bookings and business communication tools
Joy Business also listed platforms such as Coursera, Udemy, Steam, Roblox, Booking.com, Uber, Bolt, NordVPN and McAfee among the categories banks say could be affected, though the full scope has not been officially confirmed.
Banks say the 20% charge is not a bank fee
Banks that have contacted customers stress that the charge is a statutory obligation and not a fee imposed by the financial institutions.
They describe the amounts as statutory taxes collected on behalf of the GRA. The move adds to a series of regulatory changes affecting Ghana’s banking sector, including the Bank of Ghana’s planned AI directive for banks.
What the 20% tax means for Netflix, Spotify and ChatGPT subscribers
Individuals who pay for streaming, music or AI subscriptions with Ghana-issued debit or credit cards should expect to see the 20% added to their payable amount where the price does not already include the taxes.
People with several subscriptions could see the extra cost add up each month.
What it means for businesses using foreign software and cloud services
Businesses that rely on foreign software, cloud infrastructure, digital advertising and AI tools may face higher operating costs.
Companies that run online ads on Google, Meta, TikTok or LinkedIn, or that pay for cloud hosting and productivity tools by card, are among those likely to feel the impact. Some may pass the extra cost on to customers.
What happens next
Collection begins on Thursday, October 15, 2026. Customers are advised to check notices from their banks to understand how the tax will appear on their statements.
Whether a particular payment attracts the tax will depend on whether the provider already includes the taxes in its price and how the transaction is treated under the rules. Further guidance from the GRA on the full scope of the directive is expected to clarify which transactions are covered.
Key details at a glance
- Start date: Thursday, October 15, 2026
- Total rate: 20% (15% VAT + 2.5% NHIL + 2.5% GETFund Levy)
- Applies to: qualifying cross-border digital services paid with Ghana-issued bank cards
- Legal basis: Value Added Tax Act, 2025 (Act 1151), effective January 1, 2026
- Collected by: commercial banks and payment service providers on behalf of the GRA
- Example: GH¢1,000 subscription attracts GH¢200 tax, making it GH¢1,200
- Not a new tax: only the collection method changes
FAQs
Will I pay more for Netflix in Ghana from October 15?
Yes, if you pay with a Ghana-issued bank card and the price does not already include the taxes, your bank will add 20% to the payment. A GH¢1,000 charge would become GH¢1,200.
What makes up the 20% tax on digital services in Ghana?
It is 15% VAT, a 2.5% National Health Insurance Levy and a 2.5% GETFund Levy, charged under the VAT Act, 2025 (Act 1151).
Is the 20% charge on Spotify and ChatGPT a bank fee?
No. Banks say it is a statutory tax collected on behalf of the Ghana Revenue Authority, not a fee charged by the banks.
From October 15, 2026, payments for Netflix, Spotify, ChatGPT and other qualifying foreign digital services made with Ghana-issued bank cards will attract a 20% tax collected directly by banks for the GRA. While the tax itself is not new, the shift to collection at the point of payment means many individuals and businesses will see higher bills where the taxes were not already included in the price.
