The profits subject to the corporate tax are determined with sole regard to profits earned by businesses carried out or transactions conducted in Chad.
Net taxable profits are established after deduction of all charges directly entailed by the exercise of activities subject to assessment in Chad. As income from other countries is not liable to tax, foreign charges and losses are not deductible either.
The corporate tax rate is 35%.
The tax regimes applicable to companies are: the normal tax regime, the simplified tax regime, and the flat tax rate regime.
The criteria used by the tax administration is the turnover. Thus, companies with a turnover that comprises between 50 million Central African CFA francs (XAF) and XAF 500 million are subject to the simplified tax regime and those with a turnover exceeding XAF 500 million are subject to the normal tax regime.
Taxpayers who realise an annual turnover not exceeding XAF 50 million are subject to the flat tax rate regime.
All companies subject to the normal tax regime or the simplified tax regime shall file and pay taxes monthly.
There is a minimum tax of 1.5% based on turnover and an additional XAF 1 million as the minimum/floor amount.
The minimum tax shall be filed and paid monthly for companies subject to the normal tax regime or the simplified tax regime (see above for tax regimes).
Local income taxes
There are no regional or local income taxes in Chad.