Cameroon: The reform of personal income tax in Cameroon

In order to have a good understanding of the subject, it is necessary to have an understanding of the taxable income, taxable persons, territoriality, taxable event, tax liability, and tax liability payment dates.

1. Taxable income

This refers to all income that is subject to personal income tax in Cameroon. This includes:

• Salaries, wages, pensions and life annuities; 
• Income from stocks and shares; 
• Income from real estate; 
• Profits from handicraft, industrial and commercial activities; 
• Profits from farming business; 
• Profits from non-commercial and related professions.

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2. Taxable persons. 

Subject to the stipulations of international conventions, Personal Income Tax is payable by any individual whose tax domicile is in Cameroon (persons who have their main place of residence, who carry on a permanent professional activity, who have their main center of interest in Cameroon) in respect of all their worldwide income.

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3. Territoriality

Taxable persons are taxed on their worldwide income. At the place where they are reputed to have their principal residence.

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4. Taxable event and tax liability 

All taxpayers are liable for personal income tax on their personal earned income. For taxpayers falling under the simplified tax regime, personal income tax is due and payable at the time the income is made available. For taxpayers subject to the real income tax regime, when the taxable event occurs. The tax liabilities must be paid to the State treasury by the 15th of the following month at the latest.

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Produced by Tax Manager; Pauline Essomba

Supervised by Managing Partner; Vincent Ngankam

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Reference/ Citation

Section 25 of the General Tax Code Edited on the 1st of January 2024

Section 74 of the General Tax Code Edited on the 1st of January 2024

Section 86 of the General Tax Code Edited on the 1st of January 2021

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