Employees must file annual income tax returns – Ghana Revenue Authority

Employees in Ghana must now file annual income tax returns with the Ghana Revenue Authority (GRA) by April 30, as mandated by the Income Tax Act, 2015 (Act 896) and its amendments.

Previously, only employers were required to submit tax details via the Employer’s Annual Tax Deduction Schedule. Employers continue to deduct and remit monthly PAYE taxes and pension contributions, due on the 15th and 14th of the month, respectively. Non-compliance incurs penalties, including surcharges on unpaid pensions.

Taxable income includes wages, commissions, and bonuses, but excludes certain reimbursements and redundancy pay. Contributions to pensions within statutory limits are also exempt.

Experts at a recent webinar emphasized the importance of compliance to avoid fines and urged businesses to conduct annual tax health checks to align with Ghanaian tax laws.