Prime News Ghana

Tax clearance certificate now requirement for renewing practising licence

By Justice Kofi Bimpeh
Ghana Revenue Authority, GRA
Ghana Revenue Authority, GRA
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The Ghana Revenue Authority, GRA has directed all professional bodies in the country to demand tax clearance certificate from members before granting renewal of their practising licence.

According to a directive from the Ghana Revenue Authority (GRA) sighted by PrimeNewsGhana, the report is in line with the Revenue Administration Act, Act 916 which enjoins professional bodies to make the certificate a requirement for the renewal of practising licence.

New members of the various professional bodies will also have to provide the tax clearance certificate before they will be admitted.

The move is expected to help the GRA rake in more revenue to meet their target for the year.

Portions of the directive instructed the governing council of the various professional bodies to take note and act accordingly.

READ ALSO: GRA to intensify tax mobilisation through transfer pricing

"Reference is made specifically to the first schedule part two of the Revenue Administration Act which states that professional bodies are to make this a requirement for the renewal of practising licences, all governing council of professional bodies such as lawyers, accountants, doctors, engineers, architects and others must take note of this reminder and comply."

According to the directive failure to do so will be punishable by law.

"Failure to comply with this provision is an offence punishable by law and strictly enforce by GRA."

Delay in passing Tax Exemption Bill worrying - Tax expert

Director of Tax Services at PricewaterhouseCoopers Abeku Gyan-Quansah has expressed worry over the delay in passing the Tax Exemption Bill which was introduced in Parliament last year.

This follows the government's inability to begin the implementation of some tax exemptions given to some investors in the country.

According to him, the delay is having a negative effect on the country's developmental growth.

The Tax Exemption Bill was introduced by the government to give clarity to businesses in critical sectors of the economy that can be given tax holidays as a result of their operations.

The Bill is yet to be passed into law. Speaking at the Graphic Business/Stanbic Bank Breakfast Meeting in Accra, Abeku Gyan-Quansah said parliament should either withdraw or pass the bill into law to bring certainty around exemptions in the country.

"Why has is not still been passed? is it that parliament has a concern, let them raise it or it is no longer relevant, let us know and withdraw it so that we can all have certainty around exemptions. If you have a Bill that reserves certain things in some agreement all other exemptions in other enactments will be removed except what is in the Income Act and the VAT Act."