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Paying Taxes in

Guinea-Bissau

Below is a detailed summary of the taxes and mandatory contributions that a medium-size company must pay or withhold in a given year, as well as administrative burden in paying taxes and complying with postfiling procedures.

This information was collected as part of the Doing Business project, which measures and compares regulations relevant to the life cycle of a small- to medium-sized domestic business in 190 economies. The most recent round of data collection was completed on June 1, 2016 covering for the Paying Taxes indicator calendar year 2015 (January 1, 2015 – December 31, 2015).

Compare Guinea-Bissau to 189 other economies.

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 24 14% gross salaries 15.79
Corporate income tax 5 160 25% taxable profit 15.07
Accident insurance 0 jointly 8% gross salaries 9.02
Stamp duty on sales 12 0.3% sales 5.30
Tax on interest 0 jointly 15% interest 0.38 included in other taxes
Vehicle tax 2 various rates 0.14
Property tax 1 various rates depending on activity and location 0.14
Advertising tax 1 XOF 100 per letter of company name in advertisement 0.02
Fuel tax 1 0.00 small amount
Social security contributions on employee 0 jointly 8.3% gross salaries 0.00 withheld
Value added tax (VAT) 12 24 17% value added 0.00 not included
Totals: 46 208 45.5
  • Answer
    Profit tax (% of profit) 15.1
    Labor tax and contributions (% of profit) 24.8
    Other taxes (% of profit) 5.6
    Answer Score
    Postfiling index (0-100) 48.4
    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 No VAT refund mechanism
    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 93.6
    Does corporate income tax exist? Yes
    Likelihood of corporate income tax audit Highly Unlikely
    Time to comply with a corporate income tax audit (hours) 5.0 93.6
    Time to complete a corporate income tax audit (weeks) 0.0 100.0
    Administrative appeal process
    First level administrative appeal authority Litigation Department
    Is the appeal authority independent? Independent department within tax office
    Are appeal guidelines accessible to the public? No
    Source of appeal guidelines
    Is there a legal time limit for the appeal authority to issue a decision on the tax appeal? No
    Legal time limit

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.