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Ghana: Living There - Tax Issues

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Last Updated: Nov 15, 2006

Living There

Residents are taxed on worldwide income. Individuals are considered residents of Ghana if they reside in the country for an aggregate of 183 days within a year of assessment. Married couples are assessed separately.

Income Tax

Residents are taxed at the following progressive rates:

INCOME TAX

TAXABLE INCOME, GHC (US$) MARGINAL TAX RATE
Up to 2,400,000 (US$251) nil
2,400,001 - 4,800,000 (US$502) 5% on band over US$251
4,800,001 – 16,800,000 (US$1,758) 10% on band over US$502
1,680,001 – 96,000,000 (US$10,046) 17.5% on band over US$1,758
Over 96,000,000 (US$10,046) 25% on all income over US$10,046
Source: Global Property Guide

The following personal reliefs are granted to residents.

  • US$31 for an individual with a dependent spouse or an unmarried person with at least two dependant children
  • 25% of gross income for a disabled taxpayer
  • Lesser of US$31 or total income is exempt for taxpayers aged 60 or older
  • Child allowance of US$25 per child; up to three dependent children
  • Dependent allowance of US$21 each; up to two aged dependents (over 60 years)
  • Maximum of US$52 for professional, technical or vocational training costs

Rental Income

Gross rental income earned by residents is subject to final withholding tax at 10%.

 

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