Namibia operates a pure source-based (territorial) tax system rather than taxing residents on worldwide income - see Residency below for detail. Namibia operates a self-assessment system for corporate tax. Namibia's corporate income tax rate has been on a scheduled reduction path - 32% to 31% effective 1 April 2024, and to 30% for the 2025/2026 tax year - alongside a personal income tax threshold increase from N$50,000 to N$100,000 effective 1 March 2024.
Namibia's tax year runs 1 March to the end of February.
Namibia's corporate income tax (CIT) rate is 30%, effective for fiscal years beginning on or after January 1, 2025 (down from a prior 31%) - given the current date, this rate now applies to all current-year assessments.
The headline personal income tax (PIT) rate is 37%.
The standard VAT/GST (or equivalent consumption tax) rate is 15%.
Namibia operates a pure source-based tax system, not a residency-based one: income from a Namibian source (or deemed Namibian source) is taxed regardless of the taxpayer's residence, domicile, or citizenship, unless a specific exemption applies. There is no general 183-day rule converting physical presence into worldwide tax exposure; the "ordinarily resident" concept matters mainly for treaty tie-breaker purposes. Certain foreign-source income (e.g., interest, certain copyright royalties) can be deemed Namibia-source and taxed in the hands of a domestic company.
A non-Namibian entity has a Namibia permanent establishment through a fixed place of business or a dependent agent habitually concluding contracts in Namibia on the entity's behalf, following the OECD Model Treaty definition as applied under Namibian domestic law and any applicable tax treaty.
CFC rules are not applicable in Namibia.
Namibia's 2025/2026 Budget replaced the former 3:1 debt-to-equity thin capitalization ratio with a 30%-of-taxable-income interest deduction cap, applying to interest paid to "connected persons" (broadly defined to include control relationships), with banking institutions and registered insurers/re-insurers exempt. Interest deductions disallowed in the current year carry forward for five years generally, or ten years for mining, petroleum, or green hydrogen industry entities; unpaid amounts also accrue interest at 20% per annum.
Namibia does not use an elective check-the-box classification system; entity classification generally follows the entity's actual legal characteristics. Namibia does not have a comprehensive ATAD2-style anti-hybrid regime.
No foreign bank account or foreign financial asset reporting regime exists requiring residents to separately disclose foreign accounts; consistent with Namibia's territorial (or primarily source-based) system described in Tax System above, foreign-source income generally falls outside the domestic tax base rather than being reported and then taxed.
Namibia does not provide a broad participation exemption for foreign dividends in the European sense; relief from double taxation is available primarily through Namibia's foreign tax credit system.
Namibia has a foreign tax credit mechanism for foreign tax paid on foreign-source income also taxed in Namibia, capped at the Namibian tax otherwise due on that income.
Per PwC's Namibia tax summary, Namibia has concluded double tax agreements with 11 countries: Botswana, France, Germany, India, Malaysia, Mauritius, Romania, Russia, South Africa, Sweden, and the United Kingdom. Treaty relief is fact-specific and generally requires the beneficial owner of relevant income to be a company for certain relief categories (interest, dividends, royalties, services) - individuals should check applicability carefully. Namibia has no general unilateral double-tax relief provision outside its DTA network (with a narrow specific exception for royalties). Namibia has no comprehensive income tax treaty with the United States.