Speaking at the Ghana Financial Intermediation Awards on Friday 11 June, 2021, Commissioner-General of the Ghana Revenue Authority(GRA), Rev. Owusu-Amoah stated that, Rent Tax will be paid from the rent income accrued to any individual as a result of letting or leasing a property.

According to the Commissioner-General, the Authority will begin implementing this rent tax before the end of 2021.

The tax paid on rent income is referred to as Rent Tax and must be paid within 30 days after the rent income is received.

There will be two rates for this rent tax:

a.) 8% for residential premises

b.) 15% for non-residential premises

“Failure to pay your tax on rent income by the due date, will attract an interest of 125% of the statutory rate compounded monthly.” he stated.

Rev Owusu-Amoah continued to announce a Rent tax App which has been introduced and its implementation in process.

He explained that the app will allow the Revenue Authority to identify whether a property is owner-occupied or rented. Businesses or individuals Liable to Pay the Rent Tax are:

a.) Any business that receives income from letting or leasing a property.

b.) An agency that qualifies to withhold tax.

“For the good of everyone, we have introduced the Rent Tax App which has everyone’s data on it. If your name is searched the app will take us directly to your location and then when we get there we will be able to identify whether the property is owner-occupied or rented. This will not make it possible for anyone to hide from paying your taxes. If you have a property you are renting, start paying the rent tax. We should all be compliant with this new ideology. Currently, we have started implementing the app in the Accra, Kumasi, Tema areas”, he said.

“Remember to make available copies of all receipts of payment of rent tax for inspection by the officers of Ghana Revenue Authority (GRA)” cautioned the Commissioner-General.

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