Section 7(m) of the Income Tax Act, 2015 (Act 896) as amended indicates that “the income of an individual from employment in the public service of the government of a foreign country in Ghana is exempt from tax.”

Required:

Identify FOUR (4) conditions for granting such an exemption.
(2 marks)

The income of an individual from employment in the public service of the government of a foreign country is tax-exempt under the following conditions:

  • The individual is either a non-resident or resident in the country solely by reason of performing that employment.
  • The individual does not exercise any other employment or carry on business in the country.
  • The income is payable from the public funds of the foreign country.
  • The income is subject to tax in the foreign country.