Ghanaians Earning Abroad: GRA clarifies tax residency and opens special window for regularization

The Ghana Revenue Authority (GRA) has addressed public concerns regarding the tax status of Ghanaians earning income abroad.

The clarification centres on who qualifies as a “resident individual” for tax purposes according to the Income Tax Act 2015.

Who qualifies as a Resident Taxpayer in Ghana?

According to the Income Tax Act 2015 (Act 896), several factors determine resident taxpayer status:

• If you’re a Ghanaian citizen with a permanent residence in Ghana and reside here throughout the year, you’re considered a resident taxpayer.
• Spending at least 183 days within any 12-month period in Ghana qualifies you as a resident taxpayer.
• Ghanaian government employees or officials stationed overseas are considered resident taxpayers.
• Citizens temporarily away from Ghana for less than a year while maintaining a permanent home in Ghana are considered resident taxpayers.

Special Opportunity for Ghanaians with Undisclosed Foreign Income

To ease tax declaration and payment, the GRA has opened a special window for resident individuals to rectify their records and report any previously undisclosed foreign income. This is a chance for eligible Ghanaians to regularise their tax affairs.

Encouragement for Ghanaians Abroad

The GRA strongly encourages all Ghanaians earning income abroad to utilise this opportunity and ensure their tax compliance.

It encourages all eligible Ghanaians to take advantage of this opportunity to ensure their tax records are up-to-date.

By Eben Agyekum-Boateng, 3Business