This is a tax on the profit or gains realized on the sale or disposal of an asset either than trading inventory.
Capital gains are taxed at 15% of the net gains realized from selling real properties.
Subject to Section 35 (1) of Act 896 , 2015, a gain made by a person from the realisation of an asset is the amount by which:
(a) The sum of the consideration received for the asset exceeds the cost of the asset at the time of realisation; or
(b) The sum of the consideration offered for the liability is less than the amount outstanding at the time of realisation.
NB: The cost of acquisition, improvement, and legal fees and other expenses necessarily incurred in the process of selling the property, are deductible.
The gain from the sale of the shares will be the difference between the sales proceeds and the market value at the time of the sale. The “capital gain” will be taxed at the highest marginal rate. An individual may opt for a rate of 15 percent.
The following are exempted from the payment of the tax:
A person must submit a return (Capital Gain Tax Return) to the GRA which contains a summary of taxes payable on capital gains on chargeable assets listed below wherever situated in the world if you are resident in Ghana and in the case of non-residents for assets situated in Ghana only, which have been sold or otherwise disposed of within a given year and make payment of taxes due.
This is the month and year for which Capital Gains were made and taxes became due (e.g the period of Capital Gains Return for June 2013 should be completed as 06/2013).
This refers to the person disposing of the asset ie. – old owner; and the one acquiring the asset(s) i.e.- new owner. In both cases the Name, TIN, Occupation, Postal Address and Residential Addresses (including street name) and Telephone numbers of both the new and the old owner must be provided.
A detailed description of the chargeable asset(s), and location address of the asset.
This is the amount received from the sale or disposal of the Chargeable Asset and has space for Date of Sale and Amount.
A person must provide information on the original cost of acquiring, constructing or improving the asset. In all cases, the date, description and cost of the transaction should be stated.
This section deals with what costs were incurred (e.g. on consultants, auctioneers, etc.) in disposing of the asset. The information required here are;