The PIT Code foresees, with the respective specificities, the segmentation of income into Groups, namely:
- Group A: Generally applicable to the income earned by employees.
- Group B: Income earned by self-employed workers.
- Group C: Income earned by individuals carrying out an industrial or commercial activity listed in the minimum profits table in force, attached to the PIT Code.
Personal income tax rates
Self-employed workers (Group B) are taxed at a flat rate of 15%. This 15% tax rate is applicable to 70% of the gross income (resulting in an effective rate of 10.5%).
Individuals carrying out an industrial or commercial activity (Group C) are taxed at a flat rate of 30% or 6.5%, as explained below:
|Taxable income||Rate (%)|
|Amount of profits established in the minimum profits table and individuals with organised accounting.||30|
Amount of sales of goods and services (not subject to withholding) when the taxpayer has turnover in excess of four times of the maximum value established in the minimum profits table.The income received from the provision of services subject to withholding under the Corporate Income Tax (CIT) Code to corporate persons or individuals with organised accounting is subject to 6.5% PIT withholding tax (WHT) (this WHT is regarded as a final tax).
For Group A, there are progressive income tax rates up to 17%, as follows:
|Income (AOA)||Payable tax (AOA)|
|Up to 34,450||Exempt|
|Between 34,451 and 35,000||The excess of 34,450|
|Between 35,001 and 40,000||550 + 7% upon the excess of 35,000|
|Between 40,001 and 45,000||900 + 8% upon the excess of 40,000|
|Between 45,001 and 50,000||1,300 + 9% upon the excess of 45,000|
|Between 50,001 and 70,000||1,750 + 10% upon the excess of 50,000|
|Between 70,001 and 90,000||3,750 + 11% upon the excess of 70,000|
|Between 90,001 and 110,000||5,950 + 12% upon the excess of 90,000|
|Between 110,001 and 140,000||8,350 + 13% upon the excess of 110,000|
|Between 140,001 and 170,000||12,250 + 14% upon the excess of 140,000|
|Between 170,001 and 200,000||16,450 + 15% upon the excess of 170,000|
|Between 200,001 and 230,000||20,950 + 16% upon the excess of 200,000|
|More than 230,001||25,750 + 17% upon the excess of 230,000|
Investment Income Tax (IIT)
Individuals are also liable to IIT on interest, dividends, royalties, and other income of a similar nature. See the Taxes on corporate income section in the Corporate tax summary for more information.