Parliament has approved a tax waiver amounting to $10.4 million for Tata Consultancy Services Limited (TCS), the Indian IT giant selected to implement Ghana’s Integrated Tax Administration System (ITAS).
The approval, granted on Tuesday, November 18, 2025, exempts TCS from a 20% withholding tax and Value Added Tax (VAT) on its earnings under the agreement, which was originally signed during the previous New Patriotic Party (NPP) administration.
The ITAS project, supported by the International Monetary Fund (IMF), will see TCS, in partnership with Ghanaian firm IPMC, take over the country’s domestic tax mobilisation operations starting in 2026.
Presenting the motion before the House, Finance Minister Dr Cassiel Ato Forson revealed that the current National Democratic Congress (NDC) government, under President John Dramani Mahama, successfully renegotiated the original terms of the deal, resulting in savings of $9 million for Ghana.
“The Mahama-led administration has demonstrated fiscal discipline by securing better terms that protect the public purse while ensuring the successful implementation of this critical revenue mobilisation system,” Dr Ato Forson told Parliament.
The tax incentives are intended to facilitate the smooth rollout of the ITAS project, which aims to modernise and strengthen tax administration in Ghana.
The approval was however opposed by the Minority side of the House.