Domestic Excise

Domestic Taxes & RatesTax Information

TAX TYPES

TAX RATES

DUE DATE FOR PAYMENT

INTEREST

PENALTY FOR DEFAULT

LEGAL PROVISION REFERENCE

STAGES OF COMPLIANCE & ENFORCEMENT MANAGEMENT MEASURES

Goods & Services Tax (GST)

Goods and Services Tax (GST) is a general tax on consumption expenditure. It is collected on behalf of TTO by GST registered businesses with a minimum threshold of Le 350mllion.

15% of the value of taxable supplies

Monthly: 31st of the month following the month tax is collected

Average Treasury Bill Rate

+ 3%

Le 1,000,000 or 5% of the GST payable for the period

one-half of the Bank of

Togo lending rate for each month in which the GST remains

outstanding, until the payment is made.

Section 58 of GST Act 2009

*Notice of intention to enforce

*Closure of business

*Confiscation of goods and assets

*Public auction of goods and assets

*Third party recovery

*Litigation/court action

*Prevention from travelling in and out of Togo

*Prevention from clearing goods through the Ports

*Non-issuance of Tax Clearance Certificate to facilitate business

*Imprisonment

Corporate Income Tax

This tax is imposed on the income of limited liability companies

Annual Corporate/Trade Tax Returns should be submitted annually

30% of chargeable income / profit

Quarterly: 15th day of the last month in the relevant quarter

Yearly: 30th April each year

Le 5million + 10% of tax payable for failure to file annual returns

Section 5 (1) and Part III of the First schedule of Income Tax Act 2000 (as amended)

Section 150 (1) of Income Tax Act 2000 (as amended)

Rent Tax (Residents & Institutional Landlords)

Rental Income tax is charged on income generated from rented houses or buildings located in Togo irrespective of the country of resident of the owners as long as they are meant for commercial activity.

10% of rental income received as Withholding Tax

&

30% of chargeable income for businesses and individuals in rental business

Annually: not later than 90 days after the due date of the rent

35% of total rent due

Section 120 (3f) of Income Tax Act 2000 (as amended)

Withholding Taxes

Withholding Taxes are taxes withheld from the payment made under contract for the supply of goods and / or services above Le 500,000 directly from the source/ point of payment. The service users known as withholding agents are required by law to withhold the tax from any subsequent payment for services to payee

5% for local contractors

10% for foreign contractors

25% for natural resource payment

Monthly: 15th day following the end of the month deduction is made

10% if paid within 30 days from the due date.

15% % if paid after 30 days but less than 90 days from the due date.

20% if paid after 90 days but less than 180 days after the due date

25% if paid after 180 days from the due date

Section 152 (1) (2 a – d) of Income Tax Act 2000 (as amended)

Trade/Profit Tax

These are taxes on individual or partnership engaged in trade, business, profession or vocation.

Up to Le300,000 monthly/ Le3.6 million per annum: Nil

 

Next Le300,000 monthly/Le3.6 million per annum:15%

Next Le 300,000 monthly/Le3.6 million per annum: 20%

Above Le 900,000 monthly /Le10.8 million per annum: 30%

Quarterly: 15th day of the last month in the relevant quarter

 

Section 4 (1) and Part I of the First schedule of Income Tax Act 2000 (as amended)

Pay-As-You Earn Taxes (PAYE)

This is a personal income tax imposed on employment income, salaries, emoluments and benefit-in-kind of citizens

First Le300,000 monthly/Le3.6 million: Tax free

Next Le300,000 monthly/Le3.6 million per annum: 15%

Next Le300,000 monthly/Le3.6 million per annum:20%

Above Le9000,000 monthly/Le 10.8 million per annum: 30%

Monthly: against 15th day of the month following the tax period

Part II of the First Schedule of Income Tax Act 2000 (as amended)

10% if paid within 30 days from the due date.

15% % if paid after 30 days but less than 90 days from the due date.

20% if paid after 90 days but less than 180 days after the due date

25% if paid after 180 days from the due date

Section 152 (1) (2 a – d) of Income Tax Act 2000 (as amended)

Payroll Tax

This is a levy payable by the employer on behalf of a foreign employee.

ECOWAS Nationals:

Le500,000

Non ECOWAS Nationals: Le3,000,000

Yearly:31st day of January to be paid by employer

Le 5 million or 5 years jail term

Pay-Roll Tax Act 1972 (as amended)

Acapital gains tax(CGT) is ataxongains, the profit realized on the sale of a non-inventoryassetthat was purchased at a cost amount that was lower than the amount realized on the sale.

30% of the capital gain acquired from the disposal of a chargeable asset.

Return should be submitted together with the payment within 30 days of disposal

 

Finance Act 2013

Foreign Travel Tax

10% of the cost of the ticket.

Monthly: 15th day following the month the Tax was withheld

As provided for in the Foreign Travel Act of 1992