Togo taxes residents on worldwide income and non-residents on Togo-source income only. Togo operates a self-assessment system for corporate tax, with the domestic tax authority conducting post-filing review.
Togo's tax year is the calendar year.
27% standard rate on taxable profit. A minimum flat tax (Impot Minimum Forfaitaire, IMF) applies even where a company reports no profit, calculated on turnover.
Progressive across eight brackets under Article 74 of the Code General des Impots: 0% up to FCFA 900,000 annually, rising to a 35% top rate above FCFA 20 million. Salaried employees receive a standard 28% deduction after mandatory CNSS social security contributions are subtracted from gross income; the tax also accounts for family situation via a quotient/parts system based on marital status and number of dependents. Administered by the Office Togolais des Recettes (OTR), with monthly employer withholding and an annual declaration due alongside the corporate filing deadline.
18% standard VAT (WAEMU-harmonized rate; 10% reduced rate for hotel/catering/tour operator services).
A company is resident if incorporated in Togo or centrally managed and controlled there; individual residency generally follows habitual abode, consistent with the WAEMU regional norm. Togo has adopted the WAEMU (UEMOA) common policy framework, including a common external tariff and free capital movement for international transactions.
A non-Togo-resident entity has a Togo permanent establishment through a fixed place of business or a dependent agent habitually concluding contracts in Togo on the entity's behalf, following the OECD Model Treaty definition as applied under Togo's domestic law and any applicable tax treaty.
No CFC-style attribution provision was found in Togo's General Tax Code. Togo's corporate tax under Article 95 applies only to profits realized by enterprises operating in Togo, plus profits attributed to Togo by an applicable international tax treaty - a territorial base that structurally reduces the need for CFC-style anti-deferral rules. The Code's own table of contents includes a dedicated chapter on "Entreprises dependantes" (Dependent Enterprises), Togo's transfer-pricing indirect-profit-transfer mechanism, consistent with the same French-derived codification pattern found across multiple neighboring Francophone West and Central African states - profits mispriced to a foreign related party are reallocated back into the Togo tax base, rather than a foreign subsidiary's own undistributed profits being attributed to a Togo parent.
No statutory thin capitalization ratio is identified in available sources.
Togo does not use an elective check-the-box classification system; entity classification generally follows the entity's actual legal characteristics under the French-derived legal tradition shared across the region. Togo 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; foreign income is reported through the standard annual tax return.
Togo does not provide a broad participation exemption for foreign dividends in the European sense, consistent with the transfer-pricing-focused (rather than exemption-focused) anti-avoidance framework already confirmed elsewhere on this page; relief from double taxation is available primarily through Togo's foreign tax credit system where one exists.
Togo has a foreign tax credit mechanism for foreign tax paid on foreign-source income also taxed domestically, capped at the domestic tax otherwise due on that income; specific provisions are not extensively documented in public sources for Togo and should be confirmed directly with the Office Togolais des Recettes before relying on them.
Togo has bilateral double tax treaties with France (1975/2011 update), Tunisia (effective June 1, 2011), and Switzerland, per Fortune of Africa Togo and France's own treaty partner list. Togo is also a member of the WAEMU (UEMOA) regional tax treaty framework alongside Benin, Burkina Faso, Cote d'Ivoire, Guinea-Bissau, Mali, Niger, and Senegal.