Small Business Taxation in Cameroon – The Discharge Tax
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Payment & Obligations of the Taxpayer
The discharge tax is paid on a quarterly bases within the first 15 days of the end of each quarter. It is paid to the council revenue office of the location of the business or residence of the taxpayer.
Taxpayers carrying out activities that are liable to discharge tax are obliged to declare it at taxation service or local council office within 15 days of the start of the activities.
In the case where the discharge tax cannot be determined, the activities of every taxpayer that is liable to it are classified under Annex I of Chapter III of the General Tax Code of Cameroon.
The taxpayer is issued a tax ticket after payment of the discharge tax signed by the taxation service or the mayor of the council in the case there is no taxation service
The taxpayer is obliged to display the tax ticket at the premises backed by a receipt confirming payment without which it is invalid.
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Failure to display the discharge tax ticket calls for the closure of the business premises and a tax penalty of 5000frs.
The business premise(s) shall be closed if the taxpayer fails to pay the discharge tax within the required time-limits. In addition to this, a fine of 30% is added to the tax owed without prejudice to sanctions.
If there is positive proof that a taxpayer under the discharge tax system makes a turnover of more than XAF10,000,000, the said taxpayer will be subject to a business license tax either in the simplified or actual earning tax regime.
Is your business not mentioned in the above categories? Download to view the entire list of activities liable to discharge tax.
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