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Taxation of wedding event planners
[A thread]
[A thread]
This thread will focus solely on the income tax obligations of wedding event planners.
On income tax, a wedding event planner’s income from planning weddings is fully taxable in Ghana. Unfortunately, they do not get to benefit from any tax exemptions under the law...(1/5)
On income tax, a wedding event planner’s income from planning weddings is fully taxable in Ghana. Unfortunately, they do not get to benefit from any tax exemptions under the law...(1/5)
...the income tax rate applicable will depend on the “business form” the wedding planner’s business was registered as. If they registered as a company, then their income should be taxable at 25%.
If they’re unregistered (eg. all they have is an Instagram page etc.)...(2/5)
If they’re unregistered (eg. all they have is an Instagram page etc.)...(2/5)
... or if they’re registered, but as a “sole proprietorship”, then their income should be subject to tax at the personal income tax rates (graduated from 0% to 30%) depending on the income they make from planning weddings.
In arriving at their taxable income...(3/5)
In arriving at their taxable income...(3/5)
... under both scenarios above, they are allowed a deduction of expenses that strictly relate to the business in arriving at their taxable income.
For instance, they can deduct expenses relating to items used for decoration, salaries or wages paid to employees...(4/5)
For instance, they can deduct expenses relating to items used for decoration, salaries or wages paid to employees...(4/5)
... or persons contracted to assist with planning, transportation expenses etc.
They will ordinarily also have to file income tax returns annually, typically 4 months after the end of the year (eg. 2020 returns will have to be filed by 30 April 2021)...(5/5)
They will ordinarily also have to file income tax returns annually, typically 4 months after the end of the year (eg. 2020 returns will have to be filed by 30 April 2021)...(5/5)
To conclude, do you know an event planner? Share this with them maybe?
- And finally, VAT is a big one for wedding event planners. This thread did not cover that. If the interest level is high enough, we will cover their VAT obligations as well.
Do you want to see that of VAT?
- And finally, VAT is a big one for wedding event planners. This thread did not cover that. If the interest level is high enough, we will cover their VAT obligations as well.
Do you want to see that of VAT?
