The Tax Amnesty Act 2017 is a limited-time Government pardon to eligible taxpayers- individuals and businesses- who have failed to register with the Commissioner-General, or file returns, or pay taxes as required by Law. The purpose of the Amnesty is to improve voluntary tax compliance, increase tax revenues, make fairer tax reforms possible due to an expanded tax base and accelerate economic growth
WHAT IS WAIVED:
The amnesty pardons eligible taxpayers on the following:
· Tax on undeclared returns for previous years up to and including 2017 year of assessment
· Penalties and interest on non- filed income tax returns, as well as unpaid, under-reported or unreported taxes.
WHO IS ELIGIBLE FOR THE AMNESTY?
· All persons who have not previously registered with the Ghana Revenue Authority or who have registered but have unreported or underreported tax debts
Does not include:
· Persons who have already been assessed in respect to tax administered by the Commissioner- General.
· Persons who are under tax compliance check, audit or investigation, unless that person fully discloses, declares and pays accrued tax liabilities before the end of the audit or investigation.
· Persons who have been notified of or undergoing enforcement action, under unless that person makes immediate payment of taxes assessed or due.
WHAT IS THE AMNESTY PERIOD:
· It will cover a period of 8 months from 1st January, 2018 to 31st August, 2018.
TAX PERIODS COVERED BY THE AMNESTY
The amnesty applies to tax liabilities for previous years up to and including 2017 year of assessment. Payments and returns due from January 01, 2018 are not included in the amnesty.
WHAT ARE THE BENEFITS OF THE AMNESTY
· The taxpayer will not be subjected to further tax compliance checks, audit or investigation for the years 2017 and prior.
· The amnesty eliminates the financial risk of not complying with the obligation to file and pay taxes
HOW TO OBTAIN THE BENEFITS OF THE AMNESTY
During the amnesty period, eligible taxpayers must submit a separate amnesty application and;
· Previously unknown taxpayers must voluntarily register, file and fully pay income tax returns for 2014, 2015, 2016 years of assessment on or before September 30, 2018.
· Known, but delinquent taxpayers must fully and voluntarily submit original or amended returns, in addition to all documentation, for unreported, underreported years of assessment on or before September 30, 2018.
WHEN TO APPLY FOR THE AMNESTY?
The application should be made as early as possible, before the August 31, 2018 deadline to allow for adequate time for processing of the amnesty.