Beginning January 1, 2016 government will tax all earnings from investments by individuals.
According to the new change in the country’s income tax regime, a 1% levy will be charged on all interest earned on investment accounts as withholding tax.
The move is government’s way of expanding Ghana’s tax net to help improve revenue.
This should mean that if you invest in Treasury Bills or Bonds, you have to pay 1 percent of the income earned to the government.
The review in the Income tax ACT will also result in foreign investors pay 8 percent tax on all income earned from investments.
Some investment experts say the new directive will affect efforts to encourage people to invest and buy government bonds.
Meanwhile, some Ghanaians have expressed their frustration and displeasure on social media with government's decision to tax their earnings on investments.
The Commissioner-General of the Ghana Revenue Authority (GRA) wishes to inform the general public, especially all income earners that a new Income Tax Act 2015, (Act 896) has been passed by Parliament and signed into law by the President.
The Income Tax Act, 2015, (Act 896) assented to by the President on 1st September, 2015, will come into effect on 1st January, 2016 to replace the Internal Revenue Act, 2000 (Act 592).