The Ghana Revenue Authority (GRA) will today, Monday, May 1, 2023, implement the new and revised taxes, which were introduced in the 2023 Budget.
The revised taxes include the Excise Amendment Act, of 2023; the Income Tax Amendment Act, of 2023, and the Growth and Sustainability Levy Act, of 2023.
According to GRA businesses were given ample time to configure their systems for the taxes since the laws were passed.
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.
Whereas the Income Tax Amendment Act will charge a minimum of 5% on firms declaring losses for five years. Individuals earning income beyond ¢500 will attract some taxes, and the more one earns, the more taxes one will pay 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 and 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 Ghana Union of Traders Association had earlier mentioned that the new revised taxes will have a drastic effect on business and increase consumer prices.
