A gift is defined to mean a receipt without consideration or for inadequate consideration. A thing given willingly to someone without payment is considered a gift.
These are gifts received in respect of the employment. Such gifts may arise from one’s employment relationship, donated by the employer, an associate of the employer or a third party under an arrangement with the employer or an associate of the employer. Outlined under section 4(2vii), of Act 896, 2015
A person may receive gifts in respect of the business. Gifts given by the business, or on behalf of the business or through the business relationship. This is described under section 5(2vi), of Act 896, 2015
A gift received by a person other than a gift received in respect of business or employment. Under section 6(2v) as amended.
The tax payable on gifts as defined above and under section 4(2vii) and 5(2vi) of Act 896, 2015 is at a graduated rate that is added to the person’s income from employment or business for the year of assessment.
The tax payable on gift from investment is 25% for a resident Ghanaian and 30% for a non-resident Ghanaian.
A Taxable gift includes:
A taxable gift received by a person under a will or upon intestacy, by person from that person’s spouse, child, parent, brother, sister, aunt (means parent’s sister), uncle (means parent’s brother), nephew or niece (means child of a parent’s sister or brother), by a religious body which uses the gift for the benefit of the public or a section of the public and for charitable purpose are exempted from the tax
The value of a taxable gift is the market value of the gift at the time of the receipt.
Tax on gifts received by an individual if that gift is not in respect of business or employment shall within 21 days of receipt furnish the GRA with return in writing (link- Gift Tax Return) containing the following information:
Where a person is required to furnish a return under that person shall remit to the Commissioner the amount of tax calculated as payable and the payment of tax is due at that time.