Contact Us
Angola
Overview
Last reviewed - 05 July 2023Angola, officially the Republic of Angola, is a country in South-Central Africa bordered by Namibia to the south, Zambia to the east, the Democratic Republic of the Congo to the north, and the Atlantic Ocean to the west. Angola is made up of 18 provinces, with Luanda as its capital. Portuguese is the official language of Angola, and the official currency is the kwanza (AOA).
Angola is run by a multiparty regime, with its President as the chief of state. Its legal system is based on Portuguese civil law and customary law, modified to accommodate political pluralism and increased use of free markets.
Angola’s economy continued to recover from the COVID-19 pandemic in 2022, supported by higher oil prices, improved oil production, and resilient non-oil activity. Non-oil growth was broad-based despite a challenging external environment. In 2022, Angola’s gross domestic product (GDP) was 111.4 billion United States dollars (USD), estimated to grow by 3.5% in 2023, reaching USD 119.9 billion. Headline inflation declined significantly to 13.8% year-over-year at the end of December 2022, driven by lower global food prices, a stronger kwanza, and previous efforts by the central bank to tighten monetary policy.
Angola has overtaken Nigeria as the biggest oil producer in Africa. With over 9 billion barrels of proven oil reserves, Angola is committed to unleashing the full potential of its hydrocarbon sector. For 2022, production stands at 1.16 million barrels per day (bpd); however, this figure is anticipated to increase as the country’s six-year licensing round and policy reforms take off. New exploration campaigns coupled with existing asset maximisation also promise a new era of growth for 2022. Oil production and its supporting activities contribute to about 50% of the GDP and represents more than 90% of the country’s exports.
Angola is the second largest producer of diamonds in the world. Angolan diamonds are mainly mined in the province of Lunda Norte and represent about 20% of the world’s diamond production. The global demand for diamonds is increasing, especially in China and Japan. China is currently the largest market for Angolan diamonds. Angola’s diamond industry is well positioned to benefit from these growing markets.
Non-oil output accelerated with agriculture and fisheries growing almost 7% and the services sector recovering to pre-COVID-19 levels. Construction activity expanded, benefitting from higher government investment in the context of improved financial conditions.
PwC in Angola
PwC Angola is organised around industries, including oil and gas, financial services, industrial manufacturing, energy, utilities, and mining, to share the latest research and points of view on industry trends, develop industry-specific expertise, and share different methodologies and approaches in each area.
PwC Angola offers a range of tax services to assist taxpayers with tax structuring, tax compliance, oil and gas taxation, mergers and acquisitions, indirect taxation, financial services taxation, individual taxation, tax litigation, etc.
Quick rates and dates
| Corporate income tax (CIT) rates | |
|---|---|
| Headline CIT rate (%) |
25 |
| Corporate income tax (CIT) due dates | |
|---|---|
| CIT return due date |
Last business day of April (companies under the simplified regime) and May (companies under general regime). |
| CIT final payment due date |
Last business day of April (companies under the simplified regime) and May (companies under general regime) of the year following the one to which it applies. |
| CIT estimated payment due dates |
Last business day of August for companies under the general regime. |
| Personal income tax (PIT) rates | |
|---|---|
| Headline PIT rate (%) |
25 (see Angola's individual tax summary for rates for self-employed workers and individuals carrying out an industrial or commercial activity) |
| Personal income tax (PIT) due dates | |
|---|---|
| PIT return due date |
Individuals only deriving employment income are not required to file tax returns, as the employment income tax is withheld at source by their employer. Self-employed individuals should submit their annual tax return until the end of March, which shall discriminate all the income earned during the previous fiscal year. |
| PIT final payment due date |
Self-employed individuals should pay the final employment income tax when submitting the annual tax return. |
| PIT estimated payment due dates |
Monthly PAYE |
| Value-added tax (VAT) rates | |
|---|---|
| Standard VAT rate (%) |
14 |
| Withholding tax (WHT) rates | |
|---|---|
| WHT rates (%) (Dividends/Interest/Royalties) |
Dividends and royalties are taxed at 10%, and the tax is withheld at source by the paying entity in Angola. Interest on loans granted by third parties or shareholders is liable to investment income tax at 15% and 10%, respectively. |
| Capital gains tax (CGT) rates | |
|---|---|
| Headline corporate capital gains tax rate (%) |
Capital gains arising from the disposal of financial instruments: 10% |
| Headline individual capital gains tax rate (%) |
Generally, the Investment Income Tax for capital gains is 10%. |
| Net wealth/worth tax rates | |
|---|---|
| Headline net wealth/worth tax rate (%) |
NA |
| Inheritance and gift tax rates | |
|---|---|
| Headline inheritance tax rate (%) |
1% when the transmission occurs between spouses or in favour of descendants and ascendants; 2% when the transmission occurs between other persons. |
| Headline gift tax rate (%) |
1% when the transmission occurs between spouses or in favour of descendants and ascendants; 2% when the transmission occurs between other persons. |
Angola contacts
Angola contacts
Angola News
