What income do I have to pay taxes on?

According to the General Tax Code, income is what individuals, companies and other corporate bodies make from transactions and businesses carried on in Cameroon. A tax is levied on all income or profits earned, unless the law specifically exempts it. This means some incomes don’t fall under taxable incomes.

Taxable income

All taxable incomes are not treated the same. In Cameroon, you have the Personal Income Tax (PIT) and the Company or Corporate Tax. See who is liable to pay Company Tax in Cameroon

There are some income or profits that are non-taxable. However, they must be reported even though they won’t pay taxes on it. Examples are businesses that offer social services like health, education, non-profit associations, etc.

Section 3 and Section 4 of the General Tax Code gives details of the businesses that are liable to pay company tax and those that have been exempted respectively.

Personal income tax assessment

Personal income is assessed on the basis of income earned like wages, salaries, income from stocks and shares, profits from handicraft and farming business, etc. Who is liable for the Personal Income Tax in Cameroon

Some persons are also exempted from Personal Income Tax. Example includes heads of diplomatic missions, staff members of international organizations, administrative and technical staff of diplomatic missions, etc. What is the minimum taxable wage in Cameroon?

Income from family allowances, life annuities paid as damages, injury and disability pensions, scholarships, pensions or death benefits, and others are exempted from Personal Income Tax.

Frequently Asked Questions

How is Company Tax Calculation in Cameroon?

Cameroon Personal Income and Corporate Taxation

What donations or gifts are tax-deductible in Cameroon?

Corporate Tax In Cameroon

Can you pay taxes by bank transfer in Cameroon?

What is needed to incorporate a company in Cameroon?

What are the tax payment methods in Cameroon?

What are the penalties for late payment of monthly taxes?

Source(s): General Tax Code

Leave a Reply

Your email address will not be published. Required fields are marked *