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Ghana |
New Tax Bills |
The Government of Ghana has introduced five new Bills, aimed at increasing revenue generation. Parliament has approved the following Bills, which are awaiting Presidential assent to enter into force: Customs and Excise (Duties and Other Taxes) Amendment Bill Amendments proposed by the Bill include:
Further updates to the Bill were announced during Parliamentary proceedings of 4 July 2013, including a proposed increase in the environmental excise tax from 5% to 10%. Special Import Levy Bill ("SILB") The SILB imposes special import levies on the importation of specified goods at the point of importation during the period 2013 – 2015. Affected goods include:
Communication Services Tax (Amendment) Bill ("CSTB") The main purpose of the CSTB is to clarify the scope and coverage of the Communication Service Tax ("CST") introduced in 2008. The Bill follows on the landmark judgment of the Commercial Division of the Accra Fast Track High Court in favour of telecom companies, effectively barring the Ghana Revenue Authority ("GRA") from collecting CST on interconnect services. The CSTB intends to widen the scope of CST to include inter alia:
Value Added Tax Amendment Bill In terms of the Amendment Bill, telephone handsets are to be removed from the list of supplies exempt from Value Added Tax ("VAT"). VAT at 15% (12.5% VAT and 2.5% National Health Insurance Levy ("NHIL")) is to be charged on the supply and import of telephone sets, including mobile or cellular phones and satellite phones. The VAT and NHIL are to be levied in addition to the CST on communication usage referred to above. National Fiscal Stabilisation Levy ("NFSL") Bill The objective of the NFSL Bill is to re-impose NFSL at 5% on profits before tax of specified companies for a period of 18 months covering the 2013 and 2014 years of assessment. Companies and Institutions liable to pay NFSL include:
The levy will not be allowed as a deduction for corporate income tax purposes. The GRA is to administer the levy, which is payable on a quarterly basis. For the 2013 year of assessment, a proportionate payment is due on 30 September 2013 and 31 December 2013. |
Ghana Investment Promotion Centre Bill |
In terms of the Ghana Investment Promotion Centre ("GIPC") Bill, to be passed by Parliament:
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