Tax on Gains on Realisation of Assets and Liabilities: What you need to know
Under Section 39A of the Income Tax (Amendment) Act, 2023 (Act 1094), anyone who makes a gain from selling assets such as land, buildings (excluding their primary residence), shares, securities, business goodwill, or other investments must declare it within 30 days for tax assessment.
The Ghana Revenue Authority (GRA) has officially reminded the public about its implementation of the tax regime targeting profits made from the sale or realisation of assets and liabilities.
Under Section 39A of the Income Tax (Amendment) Act, 2023 (Act 1094), anyone who makes a gain from selling assets such as land, buildings (excluding their primary residence), shares, securities, business goodwill, or other investments must declare it within 30 days for tax assessment.
The standard tax rate has been pegged at 25% of the gain. Individuals, however, can choose to either pay the flat 25% or add the profit to their total income and have it taxed at the normal graduated income tax rate. Non-residents who realise investment assets will also pay a final tax of 25% on the gross amount.
In addition, buyers of such assets are required to withhold tax at the point of acquisition — 10% for non-residents and 3% for residents.
The GRA says the move is aimed at ensuring fairness and broadening Ghana’s tax net, reminding the public to comply promptly to avoid penalties.
For further enquiries, kindly call GRA toll-free on 0800 900 110, via WhatsApp on 055 299 0000 or 020 063 1664, or send an email to info@gra.gov.gh.
