New Tax Rates effective 1st January, 2020
AMENDMENTS TO THE INCOME TAX ACT, 2015 (ACT 896)
The Commissioner-General of the Ghana Revenue Authority (GRA) wishes to inform the general public that the following amendments have been made to the Income Tax Act, 2015 (Act 896) by the Income Tax (Amendment) Act, 2019 (Act 1007).
- First Schedule to Act 896 Amended as follows:
- Act 1007 has revised the First Schedule to Act 896 by reviewing the Income Tax Bands applicable to Resident Individuals. Consequently, the tax bands applicable to resident individuals are:
ANNUAL INCOME TAX RATES APPLICABLE TO RESIDENT INDIVIDUALS
| CHARGEABLE INCOME GH₵ | RATE % | TAX GH₵ | CUMULATIVE CHARGEABLE INCOME GH₵ | CUMULATIVE TAX GH₵ |
| First 3,828 | Free | Nil | 3,828.00 | Nil |
| Next 1,200 | 5 | 60.00 | 5,028.00 | 60.00 |
| Next 1,440 | 10 | 144.00 | 6,468.00 | 204.00 |
| Next 36,000 | 17.5 | 6,300.00 | 42,468.00 | 6,504.00 |
| Next 197,532 | 25 | 49,383.00 | 240,000.00 | 55,887.00 |
| Exceeding 240,000 @ | 30% |
MONTHLY INCOME TAX RATES APPLICABLE TO RESIDENT INDIVIDUALS
| CHARGEABLE INCOME GH₵ | RATE % | TAX GH₵ | CUMULATIVE CHARGEABLE INCOME GH₵ | CUMULATIVE TAX GH₵ |
| First 319 | Free | Nil | 319.00 | Nil |
| Next 100 | 5 | 5.00 | 419.00 | 5.00 |
| Next 120 | 10 | 12.00 | 539.00 | 17.00 |
| Next 3,000 | 17.5 | 525.00 | 3,539.00 | 542.00 |
| Next 16,461 | 25 | 4,115.25 | 20,000.00 | 4,657.25 |
| Exceeding 20,000 @ | 30% |
- Effective Date
These amendments took effect from 1st January, 2020.
The Commissioner-General requests the general public particularly taxpayers in the informal sector, businesses, business owners, directors of finance, tax professionals, accounting staff, accountants, auditors, tax consultants, tax advisors and paymasters to take note and comply accordingly.
COMMISSIONER-GENERAL
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