Information for Investors

Tax Environment

CONDUCIVE TAX ENVIRONMENT

• Corporate income tax (tax on profit) is 30%

• Excise tax is levied (minimum 10%) on selected local or imported products

• Turnover tax at 2% for priority sectors such as tractors, combine harvesting, grain mill etc. and 10% on other sectors

• Customs duty on unexempted imports ranges from 0 to 35%

• Income tax ranges from 10 to 35% on monthly income of £6.00 and above

• Withholding tax is payable on imports at 3% of cost, insurance and freight

• 15% VAT is payable on businesses with a turnover above £20,000

• Dividend tax (on income derived from dividends from a share company or withdrawals of profits from a private limited company) at 10%

• Royalty tax (on income derived from technology and intellectual property rights) at 5%

• Capital gains tax – Share of companies 30%; business, factory or office buildings 15%; residences 0%

• Rental income tax (on annual rental income) between 0 and 35% dependent on level of rental income

• Stamp duty – Leasing 0.5% of value; registering title to property 2% of value; contract of employment 1% of salary; bonds 1% of value etc.