Employers in the Central African Republic are required to contribute to the Office National de Sécurité Sociale (ONSS). This contribution covers social benefits such as retirement pensions, family benefits (including maternity allowances), and work-related injury and illness insurance.

The employer's contribution rate to the ONSS is typically around 14% of the employee's gross salary.

Other Mandatory Contributions

In addition to the ONSS, employers might be required to pay a small solidarity contribution. There might also be additional, smaller contributions based on the total payroll amount.

Additional Considerations

Tax laws and contribution rates in the Central African Republic can be subject to change. It's important to always consult the latest information from the ONSS or reputable tax advisors. Finding accurate, up-to-date information on the Central African Republic's tax regulations can be difficult, so a local tax advisor might be the best resource for the most reliable information.

Income tax, also known as Impôt sur le Revenu des Personnes Physiques (IRPP), is a mandatory deduction for employees. This tax is withheld at source and is based on a progressive tax rate structure. Due to limited online resources, it is advisable to consult the Tax Code of the Central African Republic (CAR) or a local tax advisor for current tax brackets.

Social Security Contributions

Employees are required to contribute a percentage of their gross salary, approximately 4%, to the Office National de Sécurité Sociale (ONSS). This contribution covers retirement, family allowances, and occupational risk insurance.

Solidarity Contribution

In some cases, there may be a small deduction for a solidarity contribution.

Union Dues

If applicable, union membership fees may be deducted from salaries.

Limited Online Information

Finding reliable and up-to-date information online regarding specific tax rates and regulations in the CAR can be challenging.

Tax Code of the Central African Republic

The Tax Code of the Central African Republic is the primary resource for accurate information on income tax rates (IRPP) and social security contribution rates.

Tax Advisors

For the most accurate and up-to-date guidance on employee deductions, it is recommended to consult a tax advisor specializing in the Central African Republic's tax laws. They can provide clarity on recent changes and any specific deductions applicable to an employee's situation.

The standard VAT rate in the Central African Republic (CAR) is 19%. This applies to most services provided within the country. However, there may be exemptions for certain essential services. To find a comprehensive list of these exemptions, it is recommended to consult the Tax Code of the CAR or a tax advisor.

The CAR may apply a "reverse charge" mechanism for certain services received from outside its borders. In this case, the recipient of the service in the CAR becomes responsible for calculating and paying VAT, even if the supplier is a foreign entity. Therefore, it's important to assess whether a specific imported service is taxable under the CAR's VAT regulations.

Finding reliable and up-to-date official information online regarding VAT in the CAR can be challenging. The primary resource for information on VAT regulations is the Tax Code of the Central African Republic. For complex situations, international transactions, or to ensure complete compliance with VAT on services, it is advisable to consult a tax advisor specializing in the CAR's tax system. They can provide the most updated information and guidance, especially where official online resources might be lacking.

Tax incentives can play a significant role in promoting investment and economic growth. In the Central African Republic (CAR), the Investment Code may provide certain tax incentives for eligible investments across various sectors. These incentives could include corporate income tax exemptions or reductions for a specified period and exemptions from certain import duties and taxes on essential equipment and materials.

Sector-Specific Incentives

In addition to general incentives, there might be tax breaks targeting specific sectors. For instance, the agricultural sector might benefit from tax breaks to promote investment. The Mining Code might offer specific incentives for investments in the mining sector. Furthermore, tax benefits might exist to encourage businesses whose primary focus is on exports.

Finding the Right Incentives

Finding accurate and up-to-date official online resources for incentives in the CAR can be challenging. The Investment Code and Sectoral Codes of the CAR will contain the most official details on available tax incentives. Consulting a tax advisor specializing in the Central African Republic is crucial. They can provide the most reliable information on currently available incentives, eligibility criteria, and assist with the application process.

Important Considerations

Finding clear, official, and up-to-date information on tax incentives in the CAR is difficult online. Moreover, tax laws and incentives can be subject to change. Working with a tax advisor ensures you have the most recent information.