#

Ease of Doing Business in

Algeria

Algeria Download Profile (1751.2KB, pdf)
Region Middle East & North Africa
Income Category Upper middle income
Population 39,666,519
GNI Per Capita (US$) 4,870
City covered Algiers

190

1

DB 2017 Rank

1

100

DB 2017 DTF (% points)

  • local_library
  • group
Topics DB 2017 Rank DB 2016 Rank info_outline Change in Rank DB 2017 DTF (% points) info_outline DB 2016 DTF (% points) info_outline Change in DTF (% points) info_outline
Overall 156 163 up
7
47.76 45.88 down
1.88
Starting a Business 142 145 up
3
77.54 76.08 up
1.46
Dealing with Construction Permits 77 119 up
42
71.02 64.56 up
6.46
Getting Electricity 118 130 up
12
60.58 57.56 up
3.02
Registering Property 162 161 down
1
43.83 43.83
-
Getting Credit 175 174 down
1
10.00 10.00
-
Protecting Minority Investors 173 174 up
1
33.33 33.33
-
Paying Taxes 155 170 up
15
53.99 46.10 up
7.89
Trading across Borders 178 178
-
24.15 24.15
-
Enforcing Contracts 102 100 down
2
55.49 55.49
-
Resolving Insolvency 74 71 down
3
47.67 47.67
-

Positive= Doing Business reform making it easier to do business.Negative= Change making it more difficult to do business.

DB 2017 Rank:

155

DB 2016 Rank:

170

Change in Rank:

up15

DB 2017 DTF (% points):

53.99

DB 2016 DTF (% points):

46.10

Change in DTF (% points):

up7.89

Indicator Algeria Middle East & North Africa OECD high income
Payments (number per year) info_outline 27 17.8 10.9
Time (hours per year) info_outline 265 208.2 163.4
Total tax rate (% of profit) info_outline 65.6 32.3 40.9
Postfiling index (0-100) info_outline 49.3 65.7 85.1
Tax or mandatory contribution Payments (number) Notes on Payments Time (hours) Statutory tax rate Tax base Total tax rate (% of profit) Notes on TTR
Social security contributions 12 76 25.5% gross salaries 28.76
Tax on professional activity 0 jointly 1% turnover 26.52
Corporate income tax 0 jointly 122 19% taxable profit 8.27
Apprenticeship tax and traning tax 0 jointly 2% net salaries 1.80
Tax on interest 0 withheld 10% interest income 0.26 included in other taxes
Tax on built land 0 jointly 3% rental value of land 0.12
Drainage tax 0 jointly DZD 10,000 fixed fee 0.05
Tax on unbuilt land 1 7% rental value of land 0.03
Vehicle tax 1 DZD 1,000 fixed fee 0.01
Stamp duty 0 jointly DZD 40 to DZD 2500 number of pages in document 0.00 small amount
Employee Labor Tax 0 jointly 9% 0.00 withheld
Value added tax (VAT) 12 67 17% value added 0.00 not included
Fuel tax 1 DZD 1/liter value of fuel 0.00 small amount
Totals: 27 265 65.6
  • Answer
    Profit tax (% of profit) 8.3
    Labor tax and contributions (% of profit) 30.6
    Other taxes (% of profit) 35.5
    Answer Score
    Postfiling index (0-100) 49.3
    VAT refunds 0.0
    Does VAT/GST exist? Yes
    Frequency of VAT/GST refund submission monthly
    Does a VAT/GST refund process exist per the case study? No
    Restrictions on VAT refund process Restricted to international traders and others
    Likelihood of VAT audit N/A
    Time to comply with VAT refund (hours) N/A 0.0
    Time to obtain a VAT refund (weeks) N/A 0.0
    Corporate income tax audits 97.2
    Does corporate income tax exist? Yes
    Likelihood of corporate income tax audit Unlikely
    Time to comply with a corporate income tax audit (hours) 3.0 97.2
    Time to complete a corporate income tax audit (weeks) 0.0 100.0
    Administrative appeal process
    First level administrative appeal authority Wilaya Tax Director, head of the public tax office or head of the local tax office
    Is the appeal authority independent? Independent department within tax office
    Are appeal guidelines accessible to the public? Yes
    Source of appeal guidelines online/in printed publication/in person at tax office/other
    Is there a legal time limit for the appeal authority to issue a decision on the tax appeal? Yes
    Legal time limit 120 days

Notes:

Name of taxes have been standardized. For instance income tax, profit tax, tax on company's income are all named corporate income tax in this table.

The hours for VAT include all the VAT and sales taxes applicable.

The hours for Social Security include all the hours for labor taxes and mandatory contributions in general.

The postfiling index is the average of the scores on time to comply with VAT refund, time to obtain a VAT refund, time to comply with a corporate income tax audit and time to complete a corporate income tax audit.

N/A = Not applicable.