Cameroon
30 Dec 2022Cameroon's tax landscape overview highlights the country's tax landscape together with other regulatory considerations of setting up an entity in Cameroon.
Doing business in country
Are taxed in Cameroon, persons having their tax home in Cameroon, for their income from Cameroonian sources.
Private limited and share company.
We can create any type of partnership or capital company, as long as it complies with the conditions required by the uniform act on commercial companies and EIGs.
Corporate income tax
The subsidiary is a better option because the branch has a limited life span.
The procedure for opening a bank account in Cameroon varies depending on the banking institution and the type of account.
To open a current account, go to the bank of your choice with the following documents: an extract from the trade register, the Articles of Association, NIU (registration certificate), a map of the company's site, an initial payment: the amount varies depending on the bank, and for each of the company's representatives: photocopy of the NIC, 02 4×4 photos, map of the company's location, certificate of residence
Within four months from the end of the financial year.
The corporate tax rate is set at 28% with an additional 10% for municipal surcharges.
The funds held by the foreign entity could be raised through dividends from the shares that the foreign company would hold in the capital of the local entity, payments for services that the latter would have performed for the benefit of a local entity, proceeds from the sale of goods in Cameroon, royalties from the leasing of brands in Cameroon.
Tax on income from movable capital.
Yes.
Value-Added Tax (VAT)
Common law rate is 19.25% and 0% for exports.
Only individuals and legal entities taxable according to the actual earnings taxation system are subject to Value Added Tax (VAT).
Operations carried out within the framework of an economic activity carried out for consideration in Cameroon, are not included in the list of exemptions provided for by the law, even when the domicile or head office of the real taxpayer is located outside the territorial limits of Cameroon.
The system is automated.
Export license (form 1), proforma invoice, final invoice, bill of lading, BL, consignment note or LTA, depending on the mode of transport, shipment note; customs documents if any.
Yes, by the rate of 19.25%.
There are no specific requirements.
Company registration documents and certificates will be required when registering for VAT. There is no group registration in Zambia, each company must be registered separately.
No.
None.
Employees Tax
Monthly and annually.
Yes.
Even though these funds are not available in Ethiopia, the tax authority acts as a collecting agent for pension fund.
No.
The personal income tax deducted at source must be paid no later than the 15th of the following month to the tax office of the employer's tax center.
The annual declaration of professional individuals must be made no later than March 15; that of non-professionals no later than 30 June.
The Personal Income Tax is calculated according to a scale fixed by the Law.
Non-professional taxpayers who receive income from salaries, wages, pensions, life annuities, and/or income from movable capital and property, and in general from any passive income, are required to file an annual recapitulative income tax return by June 30 of each year at the tax center of their place of residence.
Electronic filing.
Transfer pricing
Yes.
No.
Yes.
Yes.
International tax
Yes.
Yes.
Yes.
The control of transfer prices may give rise to administrative and/or pecuniary sanctions.