Ghana Revenue Authority (GRA) has made it clear that it has no intention of collecting taxes from street beggars.
GRA made the statement in a release issued last Monday in Accra and signed by its Assistant Commissioner Communication & Public Affairs Department (CPA), Kwasi Bobie-Ansah, for the Commissioner-General of GRA.
It was in reaction to reports in the media that GRA intends to tax street beggars among others previously not captured in the tax net in its bid to widen the tax net.
“With regard to the above therefore, it must be stated that alms received by beggars
on the streets do not fall within the taxable threshold. They therefore do not pay tax
on the alms received,” the statement clarified.
“The Authority wishes to inform the general public [that] with regard to the position of the
law on taxation of persons as stated in the Income Tax Act 2015, ( Act 896) as
follows: The Income Tax Act 2015, ( Act 896) states that the chargeable income of a
person for a year of assessment is the total of the assessable income of that
person for the year from each employment, business or investment.
The statement continued that the Act also makes it clear that when a person has no chargeable income or the income is below the taxable threshold, that person is not expected to pay tax and therefore does not file tax returns.
While urging its staff to actively mobilise revenue for the state, GRA pointed out that it does not encourage them to pursue taxes that may appropriately be considered as nuisance.
“The Commissioner-General therefore wishes to assure the general public that the
GRA implements only laws passed by Parliament and will not carry out activities that
have no legal backing,” the statement averred.
Story: Kwamena ANANSE
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