Ghana Revenue Authority rolls out three new Taxes from Today

The Ghana Revenue Authority (GRA) is set to implement the new and revised taxes introduced in the 2023 Budget on Monday, May 1, 2023. The GRA has issued a notice stating that businesses have had ample time to configure their systems for the taxes since the laws were passed.

The new taxes include the Excise Amendment Act, 2023; Income Tax Amendment Act, 2023; and the Growth and Sustainability Levy Act, 2023. The Excise Duty Amendment Act has been expanded to cover some items and commodities that were previously not captured, which may result in increased prices for processed fruit juice, cigar, mineral water, spirits, wines, and sparkling wine.

The Ghana Union of Traders Association has expressed concern over the possibility of increased prices for these goods, as they may not absorb the taxes and could pass on the costs to consumers.

The Income Tax Amendment Act will now charge a minimum of 5% on firms declaring losses for five years. Individuals earning income beyond ¢500 will also be subject to taxes, with the more one earns, the higher the taxes paid to the state.

For betting, 10% of earnings will be paid to the state, while lottery and gaming firms will pay 20% of their gross revenue. Individuals who receive gains from investment assets or liabilities and other non-gift-related earnings may have to pay 25% of the value to the state.

The Growth and Sustainability Levy Act requires banks, non-bank financial institutions, telecom companies, and firms working in the oil sector to pay 5% of their profit before tax to the state. Mining firms, oil and gas companies will pay 1.0% of their gross production, and all other firms will pay 2.5% of their profit before tax to the GRA.

The GRA has urged all affected parties to comply with the new tax laws and regulations to avoid penalties and legal actions.

SOURCE: Coverghana.com.gh