Tax Benefits and Incentives
Having identified Venture Capital Funds as an instrument that can boost investments for accelerated growth, Government of Ghana have granted tax incentives to attract private investors and boost the Venture Capital industry.
Section 10 of Act 592 Amended of the Internal Revenue (Amendment) Act, 2007 provides for full tax exemptions for investors in respect to corporate income tax, dividend tax and capital gains for 5 years.
In addition, financial institutions and investors which invest in Venture Capital Funds will receive a chargeable income tax equal to 100 percent of their investment.
Furthermore, losses from disposal of shares or any investment made during the tax exempt period may be carried forward to the post exempt period up to 5 years. Foreign investors are offered no restriction on the repatriation of profits and dividends out of Ghana.