Accounting and legal

Accounting and tax

    Corporate tax regulations in Democratic Republic of Congo

  1. The standard corporate tax rate in the DRC is 35%. Mining companies are, however, subject to a reduced corporate tax rate of 30%. Capital gains are included in the taxable income and are hence taxed at the same rate;
  2. The standard VAT rate levied is 16% on imports and supply of goods/services in the country. All resident businesses engaging in the above must be registered be registered for VAT. Furthermore, VAT returns must be filed on a monthly basis;
  3. All dividends, royalties and interest distributed to resident and non-resident companies are subject to a withholding tax rate of 20%. Additionally, dividends paid to local mining companies and their subcontractors are subject to a reduced withholding tax rate of 10%;
  4. Payment for professional services performed and rendered by non-resident companies in DRC is subject to a withholding tax rate of 14%, if the period of the said service does not exceed 6 months;
  5. Employers are also required to remit Social Security contributions at the rate of 9% imposed on gross monthly salaries;
  6. Transfer of a building property or piece of land is subject to a stamp duty at the rate of 3% applicable on the total value of the property;
  7. Corporate tax returns must be filed before the 30th of April; failure to do so will subject the company to a penalty of 20% for the first offence and 40% for second offence;
  8. An indefinite carryforward of losses is permitted in the DRC although may only offset up to 70% of the pre-tax profit in any single fiscal year. A carryback off losses is however not allowed;
  9. The Democratic Republic of Congo has signed only 2 double taxation avoidance treaties, with Belgium and South Africa;
  10. Healy Consultants Compliance Department will assist our Clients with i) documenting and implementing accounting procedures ii) implementing financial accounting software iii) preparation of financial accounting records and iv) preparing forecasts, budget and sensitivity analysis;
  11. It is important our Clients’ are aware of their personal and corporate tax obligations in their country of residence and domicile; and they will fulfill those obligations annually. Let us know if you need Healy Consultants’ help to clarify your annual reporting obligations.

Contact us

For additional information on our accounting and legal services in Democratic Republic of Congo, please email us at email@healyconsultants.com. Alternatively please contact our in-house country expert, Mr. Paavan Chhabra, directly:
client relationship officer - Paavan
Congo UNHCR country operations profile DRC trade and investment chamber DR Congo investment promotion agency DRC minister of justice and human rights