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Investment & Legal Framework
The required equity can be brought into Ghana
either in money or kind (goods, plant and machin-
ery, vehicles or other tangible assets). Money can
be brought in cash or transferred into the account
of the incorporated company at a Ghanaian com-
mercial bank. The bank must confirm the transfer
to the Bank of Ghana, which subsequently informs
the GIPC. Documents relating to equity in kind such
as bill of lading, invoices and others which are con-
firmed by the Customs Excise and Preventive Ser-
vice (CEPS) must be presented to GIPC.
Depending on the field of operation of the company,
additional registration may be necessary with other
regulatory bodies.
After registration with the GIPC, companies can ap-
ply for residence permit for their permanent expa-
triate employee. The number allowable depends on
the amount of equity invested as shown in the table
below.
100% Foreign-Owned
USD$50,000
Joint Venture
USD$10,000
All Trading
Companies
USD$300,000
Minimum Equity Requirement
for Investment in Ghana
Investment incentives and guaranties
The GIPC Act provides for automatic incentives and
benefits to investors in the areas of customs import
duty, income tax, carry forward losses and invest-
ment guarantees.
Paid Up Capital
Required (US$)
10,000 - 100,000
100,000 - 500,000
500,000+
Quota of
Expatriate Staff
1
2
5
Cylinder Capacity
of Vehicle
Less than 1900
1900 - 3000
3000 and more
Commercial vehicles
for the transport of
goods such as trucks,
tippers and lorries
Import Duty
Rate (%)
5
10
20
5
General
Hotels
Fully listed companies
Post 2004 (first 3 years)
Exports
Financial Institutions in
respect of income from
financing
Petroleum Operations
25%
22%
22%
8%
20%
Not exceeding 50%
Customs Import Duty
Agricultural and industrial plant, machinery and
equipment imported for investment purposes are
exempted from customs import duty. All import duty-
exempted goods however, attract processing and/or
other related fees or levies ranging between 0.5%
and 1.0%, with the exception of goods imported spe-
cifically for the educational, health and agricultural
sectors.
Commercial buses with seating capacity of above
thirty passengers, workshop vans, breakdown vehi-
cles, mobile showrooms, ambulances, hearse and
motor bikes are also exempted from the payment of
import duty.
However, certain types of vehicles attract both im-
port duty and value added tax of 12.5%, except am-
bulances. These are shown in the table below:
Special equipment may be exempted from customs
import duty and other related charges upon applica-
tion to the GIPC.
Income Tax Incentives
A. Corporate Tax
Residents in Ghana pay tax on income accruing in,
derived from, brought into or received in the country,
while non- residents are liable for tax on income ac-
cruing in or derived from Ghana. Corporate tax rates
are detailed below:
Paid Up Capital and
Related Quota of Expatriate Staff
Import Duty on Vehicles
Corporate Tax Rates