Question Tag: Employment

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TAX – May 2021 – L1 – SB – Q3 – Personal Income Tax (PIT)

Definitions and explanations related to the taxation of employment income as per the Personal Income Tax Act.

The Personal Income Tax Act Cap P8 LFN 2004 (as amended) defines employment to include any appointment or office whether public or otherwise for which remuneration is payable. An employer shall register with the relevant tax authority for the purposes of deducting income tax from its employees with or without formal notification or direction by the relevant tax authority.

Required:
a. Define an “itinerant worker”. (2 Marks)
b. Explain the conditions for taxation of income from employment. (10 Marks)
c. State the penalties payable by employers who failed to file returns of emoluments paid to employees in the preceding year on January 31, of each year, with the relevant tax authority. (8 Marks)

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BL – May 2018 – L1 – SA – Q18 – Employment Law

Identify the period during which an employer retains the right to confirm or not confirm an employee's appointment.

The period of time during which an employer retains the right to confirm or not to confirm the appointment of the employee is known as the period of
A. Protection
B. Redundancy
C. Overtime
D. Probation
E. Judicial Intention

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BL – Nov 2014 – L1 – SB – Q1c – Law of Tort

Explain vicarious liability with examples and assess the liability of an employer when an employee deviates from instructions and causes injury.

i. Vicarious liability is an aspect of the law of torts.
Explain vicarious liability briefly, and give TWO examples of a situation in which it occurs.
(4 Marks)

ii. ‘X’ employed ‘Y’ as a driver and asked ‘Y’ to take a parcel to X’s head office. ‘Y’ decided to visit a friend who lives five kilometres away from the route to X’s office. On his way, ‘Y’ knocked down ‘A’ and injured him. ‘A’ wants to sue ‘X’.
Required:
Can ‘A’ successfully sue ‘X’? State your reasons.
(6 Marks)

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BMF – May 2022 – L1 – SB – Q3a – The Business Environment

Stating benefits and drawbacks of profession, employment, and business with examples.

State TWO benefits and ONE drawback each of profession, employment, and businesses with copious examples.

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BMF – May 2022 – L1 – SB – Q2 – The Role of Professional Accountants in Business and Society

Explain stakeholder mapping and communication style in employment.

The main stakeholders in a business organisation, internal or external, are those who exercise the greatest influence.

Required:
a. Briefly explain the concept of “stakeholder mapping” and state FIVE main features of employment.
(10 Marks)
b. Define the term “communication style” and explain briefly THREE components of communication style.
(10 Marks)

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BMF – May 2023 – L1 – SA – Q7 – The Business Environment

Identify an incorrect statement about economic activities in a nation

Economic activities in a nation comprise of professional services, businesses, or employment. The following statements in respect of economic activities are correct, EXCEPT:

A. Most businesses need employees to carry out their operations
B. Most employees do not contribute entrepreneurship to the economy
C. A growing economy does not need entrepreneurs and innovation to sustain its growth
D. Professionals and individuals in other specialised vocations contribute specialised skills
E. Professionals contribute value to clients and individuals by providing service of a high standard

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BL – MAY 2016 – L1 – SA – Q19 – Employment Law

This question addresses the purpose of the probationary period in employment.

The probationary period of employment is to test the employee’s
A. Skill and suitability
B. Obedience
C. Eloquence
D. Emotions
E. Background

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BMF – May 2024 – L1 – SB – Q4c – Business and Organizational Structures and Choices

Distinction between profession and employment based on qualification, nature of work, establishment, and motive.

c. On the basis of qualification, nature of work, establishment, and motive, distinguish between profession and employment. (4 Marks)

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BMF – May 2024 – L1 – SA – Q6 – The Role of Professional Accountants in Business and Society

Identifying a feature that is not part of a profession's characteristics.

Which of the following is NOT a feature of a profession?
A. Admit new members to the profession
B. Award qualifications to individuals who achieve a required standard of skill or competence
C. Expel members from the profession for professional conduct
D. High entry requirements
E. An extensive period of rigorous academic training in a particular area

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PT – May 2020 – L2 – Q3b – Scope and computation of income tax for individuals and partnerships.

Characteristics of a contract of service from a taxation perspective.

b) It is necessary to find out whether an activity carried out by an individual amounts to a profession (contract for service) or employment (contract of service). From a taxation point of view, there is the existence of employment where there is a contract of service.

Required:
What are the characteristics of a contract of service?
(6 marks)

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PT – July 2023 – L2 – Q4b – Corporate Tax Liabilities

Advice on the tax implications of setting up as a subsidiary vs permanent establishment, finance leasing, and paying employees.

The management of Chika Plc, a United Kingdom (UK) based Company, is considering the possibility of launching its presence into Ghana and it is not too sure of the tax implications of the following in light of the tax laws of Ghana:

i) It is considering making its presence through incorporation in Ghana or creating an external company that is a Permanent Establishment (Branch) instead.
ii) It intends to acquire all its non-current assets through finance lease as against buying the assets outright when it makes its presence in Ghana.
iii) It intends to bring some staff from the UK to work in Ghana who will be paid half salary in Ghana and the other half paid directly to their accounts in the UK.

Required:
Advise on the tax implications of each one of them to enable management of Chika Plc to take a decision. (8 marks)

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PT – July 2023 – L2 – Q3b – Income Tax Liabilities

Explanation of what constitutes employment for the purposes of tax.

What constitutes employment for the purposes of tax? (4 marks)

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AT – Nov 2017 – L3 – Q5a – Tax administration in Ghana

Drafting a report on activities reserved for Ghanaians under the GIPC Act, 2013 (Act 865).

In recent times, there has been agitation among the youth about foreigners taking over jobs specifically reserved for indigenes in line with the Ghana Investment Promotion Centre (GIPC) Act, 2013, Act 865.

The Minister for Trade and Industry has invited you to present a seasoned paper on activities reserved for Ghanaians in accordance with the GIPC Act, 2013, Act 865 for consideration at the next cabinet meeting aimed at creating employment for the teeming youth.

Required:
Draft a report for the Minister in this regard. (10 marks)

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BCL – Nov 2018 – L1 – Q1c – Employment Law

Explain the type of service contract under which an employee's work falls.

AlRabico Chemists is the only pharmaceuticals in the northern region and Mr. Oppong is one of the key Pharmacists who had worked with the company for 18 years and has special skills which can only be used at AlRabico. His net monthly salary was GH¢15,000 and he always goes to Kumasi to spend the weekends with his family. On 14th July 2016, during a staff meeting, the new head Pharmacist Alhaji Mahmoud announced Mr. Oppong’s dismissal with immediate effect for insubordination. Mr. Oppong is deeply hurt and embarrassed by the action of Alhaji Mahmoud.

Required:
i) Explain with reasons the type of service contract Mr. Oppong’s work falls. (5 marks)

ii) What remedies are available for Mr. Oppong?

(2 marks)

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PSAF – Nov 2017 – L2 – Q1d – The Context of Public Financial Management

Identify the consequences of an economy without a public sector.

In every economy, there exists a dichotomy of sectors: public sector and the private sector. These two sectors co-exist in every economy symbiotic fashion. Most often, the private sector is hailed for superior performance in terms of economy, efficiency, and accomplishment, leading to the view that the public sector should be done away with completely.

Required:
Identify FOUR consequences an economy is likely to face in the absence of the public sector. (4 marks)

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