globaltaxnews.ey.comSign up for tax alert emailsForwardPrintDownload |
31 January 2018 Algeria's 2018 Finance Act amends Indirect Tax Code Algeria's Finance Act for fiscal year (FY) 2018 (the 2018 Finance Act), published on 28 December 2017, makes several changes to the Algerian tax regulations, notably relating to the Indirect Tax Code. A new tax of 1% called the "solidarity contribution" is now imposed on all imported goods to be used in Algeria. This tax is to be paid in the same manner as customs duties, and remitted to the customs authorities (article 109 of the 2018 Finance Act). For certain products designated by the 2018 Finance Act, the applicable customs duties rates have increased to 30% such as for laptop computers and cell phones; and to 60% notably for luxury products. The complete list of the designated products is set forth in article 115 of the 2018 Finance Act. Similarly, a list of 851 products subject to a temporary ban for importation was published by the Ministry of Commerce. Tobacco manufacturers are now required to hold a share capital equal to or greater than DZD500 million (approx. US$4.4 million), as compared to the prior amount of DZD250 million (approx. US$2.2 million) (article 38 of the 2018 Finance Act). Ernst & Young Tax & Legal Algérie, Head of Africa desk – Maghreb and Francophone Africa and Head of Algeria Tax Practice, Alger Document ID: 2018-5211 |
