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5.1. Tax Base for Resident Entities

Resident entities are taxed on their worldwide income earned from sources within and outside Ghana. For tax purposes, a company includes:

  • Partnership firm with 20 or more partners having a limited liability
  • Trust with 20 or more beneficiaries, whose entitlement to participate (in the income or capital of the trust) are divided into trusts.

Capital gains are considered as ordinary income and taxed at standard corporate tax rate.

Dividend income received from another resident company is exempt from tax, provided receiving company controls, directly or indirectly, 25% or more of the voting power in distributing company. However, stock dividends are taxable and subject to withholding tax.