Ghana Withholding Tax
According to Ghana Revenue Authority(GRA), betting, lottery and game of chance winnings are subject to 10% withholding tax.
Withholding tax is calculated and charged at the time of withdrawal as follows:
A = amount to be withdrawn;
B = total deposit amount in the past 30 days; if you have made a withdrawal in the past 30 days, only deposits made since your last withdrawal will be included in the calculation;
Withholding tax = (A - B) x 10%;
If the calculation result is less than 0, no tax will be charged for this withdrawal.
*If the withdrawal fails, the tax deducted will not be refunded while the remaining withdrawal amount will be refunded. However, the refunded withdrawal amount will be used for the next tax deduction, which means you can withdraw the refunded amount tax-free if you withdraw within the next 30 days.
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Two examples
If the taxRate is 10%
Example 1：
If a customer withdraw 1000 cedis on 1st April, and
the customer deposits 500 cedis between 1st April and 1st May, and
the customer deposits 600 cedis between 1st May and 1st June.
On 1st June, the customer initiate a withdraw of 1500 cedis. So the withholding tax will be:
The withholding tax =（1500-600）* taxRate = 90 cedis
Example 2:
If a customer withdraw 1000 cedis on 1st April, and
the customer deposits 500 cedis between 1st April and 1st May, and
the customer deposits 60,000 cedis between 1st May and 1st June.
On 1st June, the customer initiate a withdraw of 1500 cedis. So the withholding tax will be:
The withholding tax =（1500-60000）* taxRate = 0
On 1st June, if the customer initiate a withdraw of 2000 cedis. So the withholding tax will be:
The withholding tax =（2000-0）* taxRate = 200 cedis
0 -
Another example,
If a CX withdraw 150 cedis on 2023-08-15 06:41:54
he deposit 220 cedis on 2023-08-14 19:18:50
he deposit 600 cedis on 2023-08-14 19:25:30
he deposit 1,000 cedis on 2023-08-15 06:07:01
In the past 30 days, his Total Deposit Amount 1,820 cedis
If the customer want to withdraw 2000 cedis on 06:41:49 15 Aug 2023(UTC+00)
his Withholding Tax(2000.0 - 1820.0) * 0.1 = 18.0
His real gain is 2000 cedis - 18 cedis = 1,982 cedis
1 -
One new example:
GH
244387830
231213005033trd19527390
The customer thought he has been over taxed an amount of 100ghTransaction 1:
Succeed
231212050232trd51084867
231212050232pch51084955
Withdrawals
13,500.00
106,043.30
12/12/2023 05:02:32
12/12/2023 05:02:37
--------------------------------------------
Transaction 2:
Failed
231212050354trd51166253
231212050354pch51166281
Withdrawals
9,000.00
105,043.30
12/12/2023 05:03:54
12/12/2023 05:03:57
---------------------------------------------
Transaction 3:
Succeed
231213005033trd19527390
231213005033pch19527415
Withdrawals
14,400.00
90,043.30
13/12/2023 00:50:33
13/12/2023 00:50:37
After the 1st transaction, the customer made a failed withdraw transaction (Transaction 2).
In Transaction 2, the customer was deducted 1000 WHT, and the rest 9,000 GHS has been reversed to the customer's account.
- Total Deposit Amount: 0
- Withdraw Total Amount: 10,000.00
- Withholding Tax: (10000.0 - 0.0) * 0.1 = 1000.0
In Transaction 3, there is no WHT for the failed 9000 GHS in transaction 2.
- Total Deposit Amount: 9,000.00
- Withdraw Total Amount: 15,000.00
- Withholding Tax: (15000.0 - 9000.0) * 0.1 = 600.0
So, according to GRA's policy, the customer is not over taxed.
1 -
Failed withdrawal is regarded as deposit.
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