An individual who has one dependent child is entitled what form of personal relief A. responsibility relief B. marriage relief C. children education relief D. none of the above E. all of the above

A company declared a net profit of 300,000 cedis for the 2022. The expense for repairs and improvement for the year was 6,000. The written down value of the related pool was 60,000 cedis. The corporate tax rate applicable is 30%. What is the corporate tax liability of the firm in 2022? A. 90,000 B. 90900 C. 91,800 D. 92,700 E. 91,000

Which of the following is not an example of taxes administered by the customs division of the Ghana Revenue Authority A. Income tax stamp B. Import duty C. Export duty D. Excise duty E. Value added tax

Which of the following explains levying of taxes in Ghana? A. the formal order to the taxpayer for the payment of tax B. ascertainment of the taxpayers various sources of income C. collection and payment of taxes into the consolidated fund D. objective determination of the taxpayers tax liability

The monthly basic salary of Hanson is GH800. He received an overtime allowance of GH400 in the month of January. Calculate the tax applicable to the overtime payments.

A. GH25 B. GH20 C. GH40 D. GH65 E. GH30

ABC limited reported a profit before tax of 10,000 cedis. The profit was arrived at after considering; provision for doubtful debt of 5000 cedis, Specific bad debt written off 2,000 cedis, depreciation 4000, financial gain 10,000, financial cost 30,000. Capital allowance of 5,000. Calculate the allowable financial cost of ABC limited? A. 19,000 cedis B. 10,000 cedis C. 20,000 cedis D. 17,000 cedis E. 15,000 cedis

Income tax is chargeable on persons who are not fiscally resident in Ghana to the extent that they derive income from any property, trade, profession, vocation, or employment in Ghana A. True B. False

The periods within which a person or entity will not be required to pay taxes is called A. tax concessions B. tax exclusions C. tax reliefs D. tax exemptions E. tax allowance

Income from business per Section 5(2b) of Act 896 excludes the following except A. An amount specified in respect of an exemption under Section 7 B. An amount specified in respect of a final withholding payment C. An amount derived as consideration for accepting a restriction on the capacity of the person to conduct business D. An amount that is included in calculating the income of the person from an employment

For a junior staff to qualify for overtime rate in taxation of employment income, their qualifying employment income including profits and gains to be taxed in the year should not be more than GH 15,000 A. True B. False

Daniel has a monthly total cash emolument of GH10,000. He is provided fuel only by the employer. Calculate his car element benefit in kind. A. GH450 B. GH500 C. GH250 D. GH600 E. GH1000

Where the bonus payment exceeds 15% of the annual basic pay, the excess should be added to the employment income of the person and taxed at the graduated tax rates A. True B. False

Kwabena Manu was employed on 1/03/2021 on an annual salary scale of 12,000 X 2,000 - 40,0000. what will be his annual basic salary in 2022. A. GH18,667 B. GH12,000 C. GH14,000 D. GH13,667 E. GH24,000

Which of the following personal reliefs is granted to an individual who provides necessities of life for two or more dependant children A. Child education relief B. Marriage relief C. Responsibility relief D. Aged dependant relative relief

Benefits in kind that are subject to tax include the following except A. Employer providing accommodation for an employee B. Employer providing for the education of the employees children C. Employer giving goods or services free or at a cost lower than the market value to the employee D. On-site accommodation provided to an employee by an employer engaged in timber, mining, construction, or farming business

Opinion Limited has a written down value of machinery as 100,000 at the end of the year 2021. The machinery is the only asset in the pool. The repairs and improvement cost incurred during the year was 7000 cedis? How much of the repairs and improvement cost will be capitalized? A. 2,000 cedis B. 3,000 cedis C. 4,000 cedis D. 5,000 cedis E. 6,000 cedis

The periods within which a person or entity will not be required to pay taxes is called A. tax concessions B. tax exclusions C. tax reliefs D. tax exemptions E. tax allowance

The periods within which a person or entity will not be required to pay taxes is called A. tax concessions B. tax exclusions C. tax reliefs D. tax exemptions E. tax allowance

A company declared a net profit of 500,000 cedis for the 2022. The expense for repairs and improvement for the year was 60,000. The written down value of the related pool was 600,000 cedis. The corporate tax rate applicable is 30%. What is the corporate tax liability of the firm in 2022? A. 150,000 B. 159,000 C. 150,000 D. 168,000 E. 141,000

Power limited reported a profit before tax of 150,000 cedis. The profit was arrived at after considering; provision for doubtful debt of 7000 cedis, general bad debt written off 3,000 cedis, depreciation 5000. Capital allowance of 5,000. Calculate the Chargeable income of ABC limited? A. 150,000 cedis B. 155,000 cedis C. 160,000 cedis D. 170,000 cedis E. 180,000 cedis

Which of the following terms best describes an area in which a particular set of tax laws apply? A. Tax location B. Tax source C. Tax jurisdiction D. Tax district E. Tax avenue

The residency of a tax payer is relevant for the determination of his/her tax liability. In Ghana, What constitute the income of a resident person? A. All income earned wordwide B. Income received and accrued in Ghana only C. Income brought into Ghana only D. Income derived from Ghana only E. Income earned from employment only.

The residency of a tax payer is relevant for the determination of his/her tax liability. In Ghana, What constitute the income of a resident person? A. All income earned wordwide B. Income received and accrued in Ghana only C. Income brought into Ghana only D. Income derived from Ghana only E. Income earned from employment only.

Azuma limited reported a profit before tax of 250,000 cedis. The profit was arrived at after considering; provision for doubtful debt of 8000 cedis, Specific bad debt written off 2,000 cedis, depreciation 2000. Capital allowance of 5,000. Calculate the Chargeable income of ABC limited? A. 250,000 cedis B. 255,000 cedis C. 259,000 cedis D. 256,000 cedis E. 260,000 cedis

Which of the following refers to a system of tax that applies the same tax rate to all taxpayers irrespective of their level of income or profits? A. Progressive tax B. Proportional tax C. Presumptive tax D. Regressive tax E. Aggressive tax

Which of the following refers to a system of tax that applies the same tax rate to all taxpayers irrespective of their level of income or profits? A. Progressive tax B. Proportional tax C. Presumptive tax D. Regressive tax E. Aggressive tax

TP Limited has a written down value of machinery as 75,000 at the end of the year 2021. The machinery is the only asset in the pool. The repairs and improvement cost incurred during the year was 4000 cedis? How much of the repairs and improvement cost will be capitalized? A. 400 cedis B. 750 cedis C. 1250 cedis D. 250 cedis E. 1,000 cedis

Which of the following deductions is not an allowable from the assessable income in the determination of the Chargeable income? A. social security B. Donation to covid 19 fund C. disability relief D. Donation to church fund raising E. Donation to national Blood bank

Governments around the world impose taxes for several reasons. Which of the follwing is not a tenable purpose for tax charge? A. To raise revenue for the provision of social amenities. B. To control the demand of certain products. C. To correct balance of payment challenges. D. To motivate workers to increase productivity. E. To gridge the gap between the rich and the poor.

Power limited reported a profit before tax of 150,000 cedis. The profit was arrived at after considering; provision for doubtful debt of 7000 cedis, general bad debt written off 3,000 cedis, depreciation 5000. Capital allowance of 5,000. Calculate the Chargeable income of ABC limited? A. 150,000 cedis B. 155,000 cedis C. 160,000 cedis D. 170,000 cedis E. 180,000 cedis

ABC limited reported a profit before tax of 350,000 cedis. The profit was arrived at after considering; provision for doubtful debt of 5000 cedis, Specific bad debt written off 2,000 cedis, depreciation 4000. Capital allowance of 5,000. Calculate the Chargeable income of ABC limited? A. 350,000 cedis B. 354,000 cedis C. 359,000 cedis D. 356,000 cedis E. 355,000 cedis

For a junior staff to qualify for overtime rate in taxation of employment income, their qualifying employment income including profits and gains to be taxed in the year should not be more than GH 15,000 A. True B. False

Koofori, an employee of Barclays took a loan of GH80,000 at an interest rate of 5%. His monthly basic salary is GH10,000 and BoG rediscount rate is 25%. 390. What will be the taxable loan benefit assuming he must pay tax. A. GH4,000 B. GH1,000 C. GH2,000 D. GH3,000 E. GH5,000

ABC limited reported a profit before tax of 10,000 cedis. The profit was arrived at after considering; provision for doubtful debt of 5000 cedis, Specific bad debt written off 2,000 cedis, depreciation 4000, financial gain 5,000, financial cost 35,000. Capital allowance of 5,000. Calculate the allowable financial cost of ABC limited? A. 14,000 cedis B. 10,000 cedis C. 22,000 cedis D. 27,000 cedis E. 15,000 cedis

For the purpose of taxation, a normal routine commercial activity which includes commerce, manufacturing, provision of services, and/or other related activities can be referred to as A. Profession B. Trade C. Vocation D. Company E. Investment

The holding of or acting in any office or position entitling the holder to a fixed remuneration can be termed as: A. profession B. contract for service C. vocation D. contract of service E. Contract at service

Ghana currently uses a graduated tax schedule for the determination of income taxes. What classification of tax forms the basis of this approach? A. Regressive tax B. Appreciable tax C. Progressive tax D. Proportionate tax E. Incidental tax

Ghana currently uses a graduated tax schedule for the determination of income taxes. What classification of tax forms the basis of this approach? A. Regressive tax B. Appreciable tax C. Progressive tax D. Proportionate tax E. Incidental tax

For the purpose of quantification of benefits in kind, the prevailing rate for vehicle element that includes vehicle, driver, and fuel is 10.5% of total cash emoluments up to a maximum of GH 600 per month A. True B. False

For the purpose of quantification of benefits in kind, the prevailing rate for vehicle element that includes vehicle, driver, and fuel is 10.5% of total cash emoluments up to a maximum of GH 600 per month A. True B. False

Income from employment per Section 4(2) of Act 896 includes the following except A. Salary and wages B. Overtime pay C. Severance pay D. Discharge or reimbursement of an expense incurred by an individual or an associate of the individual E. Bonuses

All of the following can be classified as class 2 assets except A. Machinery for production B. motor vehicle C. Heavy truck D. furnture and fittings E. earth moving eqipment

Income from business per Section 5(2) of Act 896 includes the following except A. Service fees B. Consideration received in respect of trading stock C. Gift received by the person in respect of the business D. Dividend E. Consideration recieved from refraining from a certain activity.

For the purpose of quantification of benefits in kind, the prevailing rate for fuel only is 5% of total cash emoluments up to a maximum of GH 250 per month A. True B. False

Personal reliefs are deducted from assessable income before arriving at the chargeable income of a resident individual A. True B. False

Danny limited reported a profit before tax of 2,000 cedis. The profit was arrived at after considering; provision for doubtful debt of 5000 cedis, Specific bad debt written off 2,000 cedis, depreciation 4000, financial gain 5,000, financial cost 41,000. Capital allowance of 5,000. Calculate the allowable financial cost of ABC limited? A. 14,000 cedis B. 10,000 cedis C. 22,000 cedis D. 25,000 cedis E. 15,000 cedis

Akoto has a monthly total cash emolument of GH20,000. He has well-furnished accommodation provided for by his employer. Calculate his rent element benefit in kind. A. GH1,000 B. GH2,000 C. GH3,000 D. GH500 E. GH1,500

An individual is a resident for tax purposes if that individual meet one of the following conditions except A. a citizen of Ghana, other than a citizen who has a permanent home outside Ghana for the whole of the year B. present in Ghana for a period or periods equal in total to 183 days or more in any twelve-month period that commences or ends during the year C. has properties in Ghana D. an employee or official of the Government of Ghana posted abroad during the year Reset Selection

Agenda Limited has a written down value of machinery as 200,000 at the end of the year 2021. The machinery is the only asset in the pool. The repairs and improvement cost incurred during the year was 9000 cedis? How much of the repairs and improvement cost will be capitalized? A. 1,000 cedis B. 3,000 cedis C. 4,000 cedis D. 5,000 cedis E. 6,000 cedis

Agenda Limited has a written down value of machinery as 200,000 at the end of the year 2021. The machinery is the only asset in the pool. The repairs and improvement cost incurred during the year was 9000 cedis? How much of the repairs and improvement cost will be capitalized? A. 1,000 cedis B. 3,000 cedis C. 4,000 cedis D. 5,000 cedis E. 6,000 cedis