TaxLawGHby MSL Business School
MSL Business SchoolGhana international tax authority guide
Double Tax Treaties in Ghana
A definitive guide to Ghana’s double-tax agreements: in-force bilateral withholding ceilings, the ECOWAS arrangement, domestic-rate comparison, residence, beneficial ownership, permanent establishments, foreign tax credit and the relief application process.
Published and prepared by MSL Business School through TaxLawGH, its tax and fiscal policy education platform.
MSL Business School Double-tax treaties at a glance
MSL Business School Controlling framework
A treaty rate is a ceiling, not an automatic withholding instruction.
For a Ghana-source payment, apply the lower of the domestic withholding rate and the treaty’s source-state ceiling. Before using the ceiling, prove that the agreement is in force for the period, the recipient is a resident of the other contracting state, is the beneficial owner where required, satisfies any entitlement provision and does not hold the income through a Ghanaian permanent establishment.
Under GRA’s published relief process, the non-resident obtains a certificate of residence endorsed by the partner-state tax authority, submits a formal application and transaction evidence to the Commissioner-General, and provides the approval letter to the Ghana withholding agent.
Bilateral treaty withholding ceilings for Ghana-source payments
The table is directional: Ghana is the source state and the beneficial owner is resident in the named partner state.
| Treaty partner | Dividend—general | Dividend—qualifying company | Interest | Royalties | Technical / management fees |
|---|---|---|---|---|---|
| Belgium | 15% | 5% | 10% | 10% | 10% |
| Czech Republic | 6% | 6% | 10% | 8% | 8% |
| Denmark | 15% | 5% | 8% | 8% | 8% |
| France | 15% | 7.5% | 12.5% | 12.5% | 10% |
| Germany | 15% | 5% | 10% | 8% | 8% |
| Italy | 15% | 5% | 10% | 10% | 10% |
| Mauritius | 7% | 7% | 7% | 8% | 10% |
| Morocco | 10% | 5% | 10% | 10% | 10% |
| Netherlands | 10% | 5% | 8% | 8% | 8% |
| Qatar | 7% | 5% | 7% | 10% | 10% |
| Singapore | 7% | 7% | 7% | 7% | 10% |
| South Africa | 15% | 5% | 10% / 5% bank | 10% | 10% |
| Switzerland | 15% | 5% | 10% | 8% | 8% |
| United Kingdom | 15% | 7.5% | 12.5% | 12.5% | 10% |
These are treaty maxima, not necessarily the amount to deduct. The domestic rates are currently 8% for non-resident dividends and interest, 15% for royalties and 20% for management or technical service fees; use the lower applicable figure.
France is directional: For a Ghana-source royalty or interest paid to a qualifying French resident beneficial owner, the source-state ceiling is 12.5%. The reciprocal 10% figure in the treaty applies in the opposite source direction; a single undirected “France rate” can therefore be misleading.
Qualifying-company dividend conditions
The reduced company rate depends on the exact ownership article.
| Treaty partner group | Condition for reduced dividend ceiling |
|---|---|
| Belgium, Denmark, Germany, Italy, Morocco, Netherlands, South Africa and Switzerland | Beneficial owner is a company meeting the treaty’s direct holding of at least 10% of the payer’s capital, subject to exact wording. |
| France | Beneficial owner is a company directly or indirectly holding at least 10% of the Ghana payer’s capital. |
| United Kingdom | Beneficial owner is a company directly or indirectly controlling at least 10% of the Ghana payer’s voting power. |
| Qatar | Beneficial owner is a company directly holding at least 25% of the Ghana payer’s capital. |
| Czech Republic, Mauritius and Singapore | The stated single treaty ceiling applies without a separate higher portfolio-dividend rate in this table. |
Ownership evidence: Keep the legal register, group chart, acquisition dates, voting rights and beneficial-ownership evidence for the relevant dividend date. A later reorganisation does not prove the earlier position.
Special treaty exemptions and variations
The headline interest and dividend cells do not reproduce every institutional rule.
Several agreements exempt specified government, central-bank, public-body, export-credit or government-guaranteed debt. The named institutions and conditions differ.
The 5% ceiling applies where the interest is derived by a bank resident in the other contracting state; otherwise the headline ceiling is 10%.
The treaty contains special 5% treatment for specified government and qualifying pension-fund recipients in addition to the company rule.
Where the shareholding, debt claim, right or service is effectively connected with a Ghanaian PE, the passive-income ceiling generally gives way to the applicable business-profits treatment.
Read the article: A footnote is not a substitute for the treaty. Confirm the payer direction, eligible recipient, subject-to-tax language, ownership period, connected-right rule and any protocol.
ECOWAS multilateral double-tax arrangement
For a Ghana-source payment to a qualifying resident of another current ECOWAS Member State, the supplementary arrangement provides source-state ceilings.
| Covered partner states | Dividends | Interest | Royalties | Technical service fees |
|---|---|---|---|---|
| Benin, Cabo Verde, Côte d’Ivoire, The Gambia, Guinea, Guinea-Bissau, Liberia, Nigeria, Senegal, Sierra Leone and Togo | 10% | 10% | 10% | 5% individual · 10% company |
The interest article includes specified government, central-bank and government-guaranteed debt exemptions. Apply the lower Ghana domestic rate where it is below the ECOWAS ceiling.
Membership change: Burkina Faso, Mali and Niger ceased to be ECOWAS Member States with effect from 29 January 2025. Do not apply the ECOWAS treaty rate to a current payment involving any of those states without competent-authority confirmation of the post-withdrawal legal position.
Signed agreement versus treaty in force
Status must be verified for the relevant payment period.
Only agreements treated as in force for current Ghana-source rate purposes are included in the bilateral rate table above.
A signed or negotiated agreement cannot reduce Ghana tax until the legal entry-into-force and effective-date requirements are met.
A protocol can change rate, entitlement, information-exchange or other provisions from its own effective date.
A terminated arrangement can continue to affect a period preserved by its termination article.
Do not count treaties in the headline: Status can change. The controlled list and each agreement’s entry-into-force provision are more useful than a marketing statement that Ghana has a fixed number of treaties.
How to obtain Ghana treaty withholding relief
Complete the approval process before payment where reduced withholding at source is required.
- 01Confirm the treaty and article
Identify the agreement, source direction, income article, ceiling and effective period.
- 02Obtain residence certification
Use the non-resident certificate of residence endorsed with the official seal or stamp of the partner-state tax authority.
- 03Prove entitlement
Document legal identity, beneficial ownership, ownership percentage, liability to tax, absence of disqualifying PE connection and any limitation-on-benefits test.
- 04Attach transaction evidence
Use the share register for dividends, loan agreement for interest, licence for royalties, and service contract and deliverables for technical or management fees.
- 05Apply to the Commissioner-General
Submit the formal application and authorised-representative evidence through the current prescribed channel.
- 06Give approval to the agent
The withholding agent applies the approved rate and retains the Commissioner-General’s approval with the payment and return file.
Foreign tax credit for a Ghana resident
Treaties also relieve double taxation where a Ghana resident earns foreign-source income.
A Ghana resident generally brings worldwide income into the income-tax computation subject to Act 896.
Retain the foreign assessment, withholding certificate, return, official receipt and translation where required.
The credit attributable to a foreign-income type is limited under Act 896 and cannot create an unrestricted refund of foreign tax.
Match the foreign tax to the same income, person and period included in the Ghana computation.
Credit is not exemption: Foreign tax paid does not automatically remove the Ghana filing obligation. Compute Ghana tax, apply the statutory or treaty credit mechanism and retain the reconciliation.
Treaty disputes, objections and mutual agreement
Protect domestic remedies while considering treaty competent-authority assistance.
Challenge a Ghana tax decision within thirty days after notification under Act 915.
The applicable treaty can allow a person to present a case where taxation is not in accordance with the agreement.
A mutual-agreement request does not automatically preserve or suspend a domestic objection or appeal deadline.
The residence, ownership, transaction and pricing facts presented to both competent authorities must be complete and consistent.
Frequently asked questions
Double Tax Treaties in Ghana questions
Does a Ghana tax treaty automatically reduce withholding tax?
No. The agreement must be in force and the recipient must satisfy residence, beneficial-ownership, entitlement, income-classification and permanent-establishment conditions and complete the relief process.
Is the treaty rate always used instead of the domestic rate?
No. A treaty sets a maximum source-state rate; where Ghana’s domestic rate is lower, the lower domestic rate applies.
What is the France treaty rate on Ghana-source royalties?
The treaty ceiling is 12.5% for royalties paid from Ghana to a qualifying French resident beneficial owner. The 10% reciprocal figure applies where France is the source state and the beneficial owner is resident in Ghana.
What evidence supports treaty residence?
Use a certificate of residence endorsed by the competent tax authority of the treaty partner for the relevant period.
What does beneficial owner mean for treaty relief?
The recipient must have the substantive right to use and enjoy the income rather than receive it merely as an agent, nominee or conduit, subject to the treaty’s exact wording.
What happens if the income is connected to a Ghana PE?
The passive-income treaty ceiling generally does not apply; the income is dealt with under the business-profits or other applicable PE rule.
How does a withholding agent obtain the approved treaty rate?
The recipient applies to the Commissioner-General with residence and transaction evidence, then provides the approval letter to the withholding agent before reduced deduction.
Does a signed treaty apply immediately?
No. It must enter into force and become effective for the relevant tax and period.
Can a Ghana resident claim credit for foreign tax?
Yes, subject to Act 896, the applicable treaty and the credit limitation for the relevant foreign income.
Does a mutual-agreement request replace a tax objection?
No. Protect the domestic objection and appeal deadlines separately while assessing the treaty procedure.
MSL Business School legal reference map
Primary authority and operative framework
- Income Tax Act, 2015 (Act 896), sections 111–112 and applicable schedules, as amendedForeign tax credit and international-arrangement relief.
- Ratified bilateral double-tax agreements in forceResidence, permanent establishment, income allocation, withholding ceilings, elimination of double tax, mutual agreement and information exchange.
- ECOWAS Supplementary Act on avoidance of double taxationMultilateral rules for qualifying current Member-State transactions.
- Revenue Administration Act, 2016 (Act 915), as amendedAdministration, evidence, withholding returns, objections and enforcement.
- GRA Practice Note GRA/AG/2024/002Published administrative procedure and documentation for obtaining double-taxation relief under Act 896.
Authority hierarchy: The legislation controls the legal obligation. Administrative guidance and digital channels explain current procedure but do not create a rate, exemption or deadline.
Institutional publisher
TaxLawGH is MSL Business School's Ghana tax education platform.
This guide forms part of MSL Business School's public tax and fiscal policy education work. MSL publishes TaxLawGH to make Ghana's tax law accurate, understandable and useful to taxpayers, employers, practitioners, students and policy professionals.
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