Congo, Republic of

Overview

Last reviewed - 31 December 2019

The Republic of Congo, a country located in Central Africa, is bordered by Gabon to the west, Cameroon and the Central African Republic to the north, the Democratic Republic of the Congo to the south and east, and Cabinda (Angola) and the Atlantic Ocean to the southwest. In 1960, the Republic of Congo declared its independence. The Republic of Congo is divided into 12 regions, with Brazzaville as the capital. The currency is the CFA franc (Coopération financière en Afrique centrale franc or XAF), and the official language is French. However, several regional languages are also recognised.

The economy is a mixture of subsistence agriculture, an industrial sector based largely on oil, and support services. Oil has supplanted forestry as the mainstay of the economy and provides a major share of government revenues and exports.

In the early 1980s, rapidly rising oil revenues pushed the Republic of Congo's gross domestic product (GDP) growth to a 5% annual average, one of the highest rates in Africa. Subsequent trends in oil prices have continued to affect economic progress.

In 2016, the petroleum industry accounted for an estimated 60% of the state budget, and, despite a decade of modest reforms initiated by the government of President Sassou Nguesso, the Republic of Congo remains heavily dependent on oil revenues to finance its development.

The oil and gas downturn has significantly impacted the economic environment. With the severe strain of continued low oil prices, the Congolese government has initiated political and economic actions to diversify its revenue stream to reduce its dependence on hydrocarbon and increase the contribution of tax-based revenue. In this respect, incentives are available for the development of other sectors, such as agriculture, forestry, tourism, etc.

At PwC Congo, we know that value goes beyond a single engagement or a single result. Value is defined by a relationship, one that is born of an intelligent, engaged, and highly collaborative process. As our client, you expect us to understand your business and the unique context within which you define value. With our global network, people, tools, and experience, we are ready and able to help you achieve that value wherever you do business.

Our tax practice is developed around functions such as corporate income tax (CIT), indirect taxes (value-added tax [VAT] and customs), personal income tax (PIT), and withholding tax (WHT) management. Our tax practice has teams that provide varied tax advisory services to clients operating in all the major sectors of the Congolese economy. We advise clients on a wide range of tax and business issues, including restructuring of transactions for maximum tax advantage.

Quick rates and dates

Corporate income tax (CIT) rates
Headline CIT rate (%) 30
Corporate income tax (CIT) due dates
CIT return due date 20 May
CIT final payment due date 20 May
CIT estimated payment due dates Quarterly instalments due on 20 February, 20 May, 20 August, and 20 November.
Personal income tax (PIT) rates
Headline PIT rate (%) 40
Personal income tax (PIT) due dates
PIT return due date 1 March
PIT final payment due date NP
PIT estimated payment due dates PAYE
Value-added tax (VAT) rates
Standard VAT rate (%) 18.90 (18% VAT + 5% surtax)
Withholding tax (WHT) rates
WHT rates (%) (Div/Int/Roy) Resident: 15 / 0 / 0;
Non-resident: 15 / 20 / 20
Capital gains tax (CGT) rates
Corporate capital gains tax rate (%) Capital gains are subject to the normal CIT rate.
Individual capital gains tax rate (%) Capital gains are subject to the normal PIT rate.
Net wealth/worth tax rates
Headline net wealth/worth tax rate (%) NP
Inheritance and gift tax rates
Inheritance tax rate (%) NP
Gift tax rate (%) NP

NA stands for Not Applicable (i.e. the territory does not have the indicated tax or requirement)

NP stands for Not Provided (i.e. the information is not currently provided in this chart)

All information in this chart is up to date as of the 'Last reviewed' date on the corresponding territory Overview page. This chart has been prepared for general guidance on matters of interest only, and does not constitute professional advice. You should not act upon the information contained in this chart without obtaining specific professional advice. No representation or warranty (express or implied) is given as to the accuracy or completeness of the information contained in this chart, and, to the extent permitted by law, PwC does not accept or assume any liability, responsibility or duty of care for any consequences of you or anyone else acting, or refraining to act, in reliance on the information contained in this chart or for any decision based on it.