The threshold to determine whether an entity is subject to impôt synthetic of 5% on revenue or to income tax of 20% on profit is changed from 100 million Malagasy ariary (MGA) to MGA 200 million. Companies having annual revenue of more than MGA 200 million (instead of MGA 100 million during fiscal year 2018) are subject to corporate income tax (CIT) of 20%.
The threshold to determine whether an entity is a VAT vendor or not is changed from MGA 100 million to MGA 200 million.
Two new tax treaties, one with Morocco and one with Canada, have been signed during year 2018, bringing to four the tax treaties applicable in Madagascar.
Last Reviewed - 02 September 2019