Gifts vs. Bribes: Key Differences

More on Malfeasance: Bribery, Gift-Giving and Patronage

• The gift and its characteristics are important aspects of malfeasance.
• Gift taxation needs to be taken into account.
• Bribery, loans, and borrowing all relate to malfeasance.
• Subversions and transformations of gift culture can occur.
• There are suggestions for dealing with bribery.

Comment on Giving and Receiving

• Giving and receiving have ancient roots, found in the Bible (Acts 20:35) where Jesus stated, "It is more blessed to give than to receive."
• The Koran also encourages giving, emphasizing kindness through alms.
• Giving and receiving can be moral, immoral, legal, or illegal, with economic, religious, and political dimensions.
• People engage in various actions through giving and receiving, including buying, bartering, borrowing, extorting, and even conflict.

Bribery

• Bribery involves financial inducement or the exchange of favors between officials and the public.
• The inducement itself may be what an official requires to perform their duty unlawfully.
• Officials may ignore or manipulate rules to benefit the bribe giver/taker.
• Instruments of bribery include solicited and unsolicited donations and gifts, such as hampers or sexual favors.
• Patronage/indirect bribery involves using favors to cultivate relationships, inducing officials to grant unwarranted favors in the future.

Gifts as Conduit to Corruption

• Judges are asked to avoid gifts from lawyers/the public to maintain neutrality, preventing future compromises in cases involving benefactors.

Defining "Gift"

• A gift can be tangible or intangible, including property, services, or even people.
• Gifts differ from commodities bought and sold in the market.
• Givers and takers are typically acquaintances.
• Gifts are usually considered free and voluntary, but a motive exists, making them not entirely free.

Ghanaian Law on Gifts

• Ghanaian law defines a gift as giving property without expecting equal value in return, related to Gift Tax.
• A gift goes beyond material value or cash.

Resemblances

• Gifts resemble bribes, but differ.
• A gift resembles purchase/barter, but differs.
• A bribe resembles purchase, but differs.
• Bribes can be disguised as gifts.
• A bribe is like a purchase, with the difference being it is illegal, and factors of legality, equivalence, and morality apply.

Bribery vs. Other Transactions

• Bribery is similar to but distinct from gift-giving and purchase.
• Bribes are illegal.
• Favors are not the giver's gift if violating rules as a public servant.
• Civil servants are paid by the public, with discretion to promote public good, not personal interests at the state's expense.

Morality of Gifts, Obligations

• Social and moral pressures influence gift-giving, varying across cultures, and making gifts not entirely free.
• Social and moral obligations regarding gifts: Giving when expected prevents loss of face or estrangement.
• Accepting gifts is expected unless there's a good reason for refusal.
• Recipients should make a return gift at some point, reciprocal actions are expected.

Quantities in Gift-Giving

• Gifts, whether small or large, are economic, with some states requiring declaration and taxation.
• The economic aspect of gifts should be suppressed; quantities and values are downplayed.
• Gifts and counter-gifts should not appear equivalent.
• Time should pass between a gift and its counter.

Gifts vs. Purchase/ Barter

• Purchases use money, while gifts are like barter and do not depend on money.
• Purchase/barter maintains equivalence.
• 'Transactors' may be strangers vs existing relationships.
• In purchase, exchange is simultaneous.
• Purchases are episodic, but gifts establish enduring ties.
• In purchase, expectations are known, while gifts can be a nice surprise.

Features of the Bribe

• While similar to a purchase a bribe is immoral and illegal.
• It violates established regulations.
• Similar to a gift, a bribe entails reciprocal exchange without stipulations.
• Alike a purchase, the goal is specific and known to both parties.
• The exchange is quick, and delays are not tolerated.

Bribe: Purchase and Gift

• Gifts foster connections, while bribery does not.
• Bribes contain elements of gifts and purchases/barters.
• A bribe is like a gift but has later immoral obligations, and helps establish patron-client relationships.

Corruption: Gifts

• Bribes are disguised as gifts, which casts a negative light on culturally acceptable gift-giving.
• True gifts support social connections.
• Gifts are moral and do not subvert functions.
• Parties determine time, mode, and medium of reciprocation.
• Otherwise it is not a gift.

Comparing Gift, Bribe and Barter/Purchase

Loans and Lending

• Loans are legal/not illegal to transact.
• They are not immoral, but frequent borrowers are not respected.
• Loans require settlement via the object lent, similar object, or cash value.
• Loans resemble purchases and gifts in some ways.
• Loans may be commercial.

Loan Features

• They are based what is given at one time will be returned at a future date.
• The return time is agreed upon at origination.
• Initial and returned objects should be similar in kind, value, and amount.
• Non-commercial loans between kin/friends are possible, with temporary denial without compensation.
• Commercial loans accrue interest, like in banking.

Gift Tax

• Gift tax is a tax on the transfer of property by one person to another, whether with intent or not without receiving equal value in return.
• It applies to any property transfer through a gift.
• It also applies if a item is sold below market value or an interest free loan is offered.

Legal Gift Tax Requirements

• Ghana Revenue Authority (GRA) charges 15% as gift tax.
• Any gift is taxable unless it is for tuition, medical expenses, to spouse, political organizations, or recognized charities.
• Recognized charities are deductible in declarations.

Popularity of the Gift Tax

• The Gift Tax is not popular with Ghanaians.
• Heads of state do not resist gifts and appear to not pay any taxes on them.
• Southern Ghanaians may signal gifts with "asida," a public acknowledgment, such as party.

Preventing Transformation of Gifts to Bribes

• Unmask bribes disguised as gifts.
• Nullify bribes by paying the giver. Once paid, the taker owes nothing.
• Whistle-blowers face dangers.
• Don't solicit, give, or accept bribes; take courage.
• Increase sanctions and penalties.