GRA announces plans to tax individuals who earn from churches

Source The Ghana Report/Sefanam Agbobli

The Board Chairman of the Ghana Revenue Authority (GRA) says plans are underway to tax some operations of churches in the country.

According to Professor Stephen Adei even though churches cannot be taxed as an institution, persons who generate income from it must be made to pay taxes.

“Anybody who is paid by the church or uses it as an individual must pay tax on what has come to you” he detailed.

GRA in August 2018 revealed that it was working aggressively to tax activities of churches and investigate churches that rake in much revenue that is subsequently not taxed.

Former Commissioner-general of the authority, Emmanuel Kofi Nti explained the move was to plug all revenue loopholes as part of measures to meet its 2018 revenue target.

President Nana Addo Dankwa Akufo-Addo backed the plan for churches in the country to be taxed. His position was premised on the fact that churches have now moved into the realm of wealth creation and prosperity.

Speaking at the 2018 Synod of the Global Evangelical Church in Accra, the President observed that churches were no longer the charity institutions they used to be as they are now focusing on education and healthcare delivery among others, thus placing them in the tax net.

Justifying the actions of GRA, Professor Adei maintained the fact that the church as an institution should not pay tax does not means people who make income from it shouldn’t.

He revealed “We have even gotten some ¢3 million from a certain pastor”.

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