Accounting and tax

1. Corporate income tax in Guinea is imposed at a standard rate of 35%, with a lower rate of 30% only applicable to mining companies. All legal entities in Guinea must register for tax and VAT at the Agency for Promotion of Private Investments (APIP) and submit annual returns by 30^th of April following the end of the tax year;
2. Capital gains are treated as normal corporate income in Guinea and are subject to a capital gains tax at the normal corporate tax rate of 35%;
3. The Value Added Tax (VAT) is levied at a standard rate of 18%. Businesses in sectors such as international freight, basic food commodities and exports are however exempted from VAT payments. All companies must register for VAT and file monthly returns by 15^th of every month;
4. Branches of foreign companies established in Guinea are subject to an additional 10% withholding tax on after tax profits on top of the standard corporate income tax;
5. A 10% withholding tax is applicable on i) dividends and ii) interests paid to both resident and non-resident companies;
6. A 15% Withholding tax is applicable on i) royalties paid to both resident and non-resident companies ii) technical services and management services fees;
7. Employers in Guinea are obliged to submit monthly social security contributions of 18% of their employees monthly remuneration to the Guinea National Social Security Fund (CNSS);
8. Businesses in Guinea may carryforward their tax losses for a maximum period of 3 years, however a carryback of losses is not permitted;
9. In 2019, the Conakry Registrar of Companies (Guichet Unique) made it mandatory for companies to obtain a signed lease agreement in order to complete tax registrations;
10. Republic of Guinea has so far entered into double taxation treaties with different countries including: i) France ii) Morocco iii) Serbia and iv) Montenegro;
11. Healy Consultants will assist the Client with i) documenting and implementing accounting procedures ii) implementing financial accounting software iii) preparing financial accounting records and iv) preparing forecasts, budgets and performing sensitivity analysis;
12. 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.