Ghana Post refused to pay GHS3m PAYE to GRA despite deductions

An audit review of the 2018 payroll of the Ghana Post Company Limited has disclosed that the Company deducted GHS3,447,961.45 as PAYE from the salaries of employees but did not transfer same to the Ghana Revenue Authority (GRA).

According to the Ghana Revenue Authority (GRA) Pay As You Earn or PAYE is a tax deducted from an employee’s income and is paid by an employer on behalf of the employee.

The tax is charged on all income of an individual in employment, whether it is received in cash or in kind. Monthly PAYE returns must be filed by the employer on behalf of the employee on or before the 15th day of the month following the month in which the deduction was made.

Although the deductions were made by the Ghana Post Company Limited the money was never paid to the GRA.

This was disclosed in the Auditor-General’s report on the public accounts of Ghana, public boards, corporations, and other statutory institutions for the period ended 31 December 2020.

The A-G has recommended to the management to ensure that the deduction of GHS3,447,961.45 is paid to the GRA to avoid payment of penalty on the amount outstanding.

Ghana Post also paid Mats & Associates, an HR consulting firm, a sum of GHS48,625.00 during the period under review, for HR services without proof of work done.

The A-G has asked the management to ensure that the amount of GH¢48,625.00 is duly accounted for, failing which they should be held liable.

In addition, Ghana Post was unable to recover an amount of GHS1,511,431.83 as outstanding debt owed to the Company for Bulk Mail and EMS services respectively.

The Postal and Courier Services Regulatory Commission Act, 2003 (Act 649) repealed the Ghana Postal Services Corporation Act, 1995 (Act 505) but remains silent on the role/mandate of the xompany.

The A-G has, thus, advised management as a matter of urgency to liaise with the Sector Ministry, the legislative drafting division of the Attorney-General’s Department to develop or amend Act 649 to include the functions of the Company.


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