What are the different types of taxes for

  • a. The salaried worker

Answer: There are five tax levels according to your monthly salary as an employee and they are as follows.

0% for the first GHS 120 (monthly)

5% for the next GHS 60 / GHS 720

10% for the next GHS 84 / GHS 1,008

17.5% for the next GHS 2,136 / GHS 25,632

25% for everything exceeding GHS 2,400 / GHS 28,800

There is a tax relief of GHS 35.00 per year if you have a dependant spouse or at least two

children that you are taking care of. Moreover tax reliefs are granted for disabled people and

workers that are 60 years or older.

  • b. The business owner

Answer: There are also five tax levels according to your annual income if you are self-employed.

0% for the first GHS 1,440 (yearly for self-employed persons)

5% for the next GHS 60 / GHS 720

10% for the next GHS 84 / GHS 1,008

17.5% for the next GHS 2,136 / GHS 25,632

25% for everything exceeding GHS 2,400 / GHS 28,800

The tax reliefs for people with dependents, older people and disabled people also apply to business owners.

Which taxes are avoidable and which are mandatory?

All taxes are mandatory. Just make sure you have enough information on your tax obligations. An accountant or the help desk at the Ghana Revenue Authority can help with all details.

How are taxes collected in Ghana?

Paid to the required tax agency either in person or deducted at source by the state or your employer.

Are there any direct benefits of paying tax?

Indeed, taxes go into the national coffers to be used for development projects and to run the nation. Also, having the right tax documentation is a legal neccessity in many transactions, applications and dealings.

What are my taxes used for by the government?

Nation building, infrastructural development, governance, security and development.