Tax in Benin

Who is the tax authority and where do filings live?

Benin's Direction Generale des Impots (DGI) under the Ministry of Economy and Finance administers Benin's tax system [SC1]. Substantive law: Code General des Impots (CGI), Loi 2024-09 reform, WAEMU tax directives, OHADA framework, and successive Loi de Finances amendments. Benin is a WAEMU, ECOWAS, and AfCFTA member.

What is the tax year and when are returns due?

Individual tax year is the calendar year. ITS withheld monthly. Corporate annual returns due 30 April for prior fiscal year [SC1]. TVA monthly returns. Provisional CIT through quarterly acomptes regime.

Who is a Beninese tax resident?

Under CGI, an individual is tax resident if (a) habitual residence in Benin, (b) physically present 183+ days, OR (c) Benin-source professional activity [SC2]. Residents taxed on worldwide income.

What are the personal income tax rates?

Progressive ITS brackets: 0 percent to XOF 60,000 monthly; ascending rates 10/15/19/30 percent ascending [SC1]. Top 30 percent above XOF 530,000 monthly. Personal allowance applies. Self-employment under separate framework.

How does Benin's corporate tax work?

IS 30 percent flat for resident companies [SC2]. 25 percent for industrial enterprises and SMEs. 35 percent for oil/gas. Withholding on dividends to non-residents 10 percent. Pillar Two not transposed. Tax losses 5 years.

What about VAT?

TVA 18 percent under WAEMU directive harmonisation [SC3]. Zero-rated on exports.

How are cryptoassets taxed?

BCEAO advisory: cryptoassets restricted under WAEMU framework [SC2]. Where declared, gains under existing income-tax categories.

What is the treaty network and what are the audit triggers?

Benin has approximately 5 active double tax treaties [SC4]. WAEMU Multilateral Tax Convention. MLI not yet ratified. Standard SOL 5 years; extended for fraud.

What are the common penalties and pitfalls for foreigners?

Penalty framework: late filings, failure to file, incorrect declarations [SC5]. Common pitfalls: (1) post-2024 Loi 2024-09 reform progressively modernising framework; (2) cotton and port-of-Cotonou re-export economy creates customs and excise complexity; (3) Pillar Two not transposed; (4) limited treaty network (5 DTCs); (5) MLI not yet ratified; (6) WAEMU framework with monetary union (XOF) and tax-directive harmonisation; (7) francophone tradition with OHADA framework; (8) Investment Code framework for incentivised projects; (9) AfCFTA member; (10) post-2019 Niger-Benin pipeline export-tax framework affecting cross-border flows.