religious market in Ghana today: Is there legal basis to tax the church?

Abstract

This paper is a rehash of the existing debate on whether or not the church should be subject to tax. Unlike many others, the paper approaches the issue from a legal perspective and explores the relevant principles of taxation as established by statutes and case law in Ghana. In the main, this paper argues that given that majority of the churches in Ghana engage in transactions which may be properly classified as business, the Commissioner of Income Tax is empowered by law to demand tax from the church in respect of the income accruing therefrom. Thus, using the interpretive paradigm mainly through interviews, observation as well as reliance on statutes and case law, the paper concludes that transactions such as the taking of service fees, sale of anointing oil and other religious products constitute trade and the income arising thereto must be subject to tax.