Cameroon: Business Environment

Accounting Rules

Tax Year: The fiscal year extends from 1st January to 31st December.
Accounting Standards: The accounting standards are based on the Organization for the Harmonization of Business Law in Africa (OHADA).
Accounting Regulation Bodies: Ministry of Commerce
Accounting Reports: - At the end of each accounting year, the manager discloses the financial statements synthesis, in compliance with the Uniform Act regulations concerning the organization and harmonization of accounts.
-The Manager must prepare an annual report.
Publication Requirements: - An annual report must be published.
- Any modification in the presentation of the financial statements synthesis must be indicated in the annual report and, if possible, in the report of the auditor.
- The accounting documents.
Professional Accountancy Bodies: National Order of Certified Public Accountants of Cameroon
Certification and Auditing: The verification of accounts is undertaken by auditors. They are engaged in certifying the regularity and the true nature of the financial statements and to give their certification with certain reservations or to refuse it, precising the reasons. You can contact external auditors: Deloitte, PricewaterhouseCoopers.
Accounting News: Einnews

Tax Rates

Consumption Taxes

Nature of the Tax: Value Added Tax (VAT)
Tax Rate: The VAT rate is 19.25%.
Reduced Tax Rate: A 0% rate applies for exported goods and services. Certain essential goods are exempted.
Other Consumption Taxes: An excise duty of 25% is applicable to cigarettes, drinks, cosmetics or luxury products : jewels, precious stones.

Learn more about Service Providers in Cameroon on Globaltrade.net, the Directory for International Trade Service Providers.

Corporate Taxes

Company Tax: 38.5% in total (35% of corporate tax + 10% of a local tax)
Capital Gains Taxation: Capital gains are treated as ordinary business income and taxed at normally company tax rates.
Main Allowable Deductions and Tax Credit: The deductible charges are: straight-line depreciation ; provision for doubtful debtors and depreciation of stocks ; salary to employees (including benefits in kind) ; health insurance premium for the benefit of Cameroonian and foreign employees ; rentals for property rented by an associate manager with a capital holding of less than 10% in the company ; interests on current accounts of associates and shareholders subject to the condition that their rate does not bypass that of the TIAO increased by 2 points ; Head Office charges, as well as those related to research, technical assistance, financial or accounting charges, given to Western companies, subject to certain limitations.
Other Corporate Taxes: Payroll tax, real property tax, social security contributions, stamp duty, transfer tax, special income tax.

Country Comparison For Corporate Taxation

	Cameroon	Sub-Saharan Africa	United States	Germany
Number of Payments of Taxes per Year	44.0	37.3	11.0	16.0
Time Taken For Administrative Formalities (Hours)	654.0	315.1	187.0	215.0
Total Share of Taxes (% of Profit)	49.1	68.0	46.8	48.2

Source: Doing Business - Last Available Data.

Individual Taxes

Tax Rate

Personal Income Tax	Progressive rate from 10% to 35%. A surcharge of 10% of the principal tax is levied on the rates.
From XAF 0 to 2,000,000	10%
From XAF 2,000,001 to 3,000,000	15%
From XAF 3,000,001 to 5,000,000	25%
More than XAF 5,000,000	35%

Allowable Deductions and Tax Credit: Allowable deductions include business expenses, social security contributions, professional expenses (fixed at 30%) and a real estate deduction (fixed at 30%).
Special Expatriate Tax Regime: There is no special tax regime for expatriates.

Double Taxation Treaties

Countries With Whom a Double Taxation Treaty Have Been Signed: See the list of the convention signed
Withholding Taxes: Dividends: 16.5%, Interest: 16.5%, Royalties: 15%.
Bilateral Agreement: Cameroon and Lebanon are not bound by a Double Taxation Agreement.

Sources of Fiscal Information

Tax Authorities: Directorate General of Taxes
Other Domestic Resources: Doing Business - Cameroon

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Intellectual Property

National Organizations: Cameroon has signed an agreement at the time of the establishment of the World Organisation of Intellectual Property (WIPO). You can contact the Directorate of Technological Development and Industrial Property by Email.
Regional Organizations: Cameroon is a member of the African Intellectual Property Organization since 24th February 1999.
International Membership: Member of the WIPO (World Intellectual Property Organization)
Signatory to the Paris Convention For the Protection of Intellectual Property

National Regulation and International Agreements

Type of property and law	Validity	International Agreements Signed
Patent The Bangui Agreement of March 1977	20 years
Trademark Agreement revising the Bangui Agreement of 2nd March 1977, after the creation of the African Intellectual Property Organization on 24th February 1999	10 years, renewable for consecutive periods of 10 years
Design Agreement Revising the Bangui Agreement of March 2, 1977, on the Creation of an African Intellectual Property Organization, February 24, 1999	5 years, renewable for two further consecutive periods of 5 years
Copyright Law no. 2000/011 related to copyright	10 years	Convention for the Protection of Producers of Phonograms Against Unauthorized Duplication of Their Phonograms Rome ConventionFor the Protection of Performers, Producers of Phonograms and Broadcasting Organizations WIPO Copyright Treaty
Industrial Models Bangui Agreement of March 1977	20 years

Legal Framework

Independence of Justice: Judiciary is not independent in Cameroon and is highly subject to political influence. A high degree of corruption exists in the country.
Equal Treatment of Nationals and Foreigners: Foreigners cannot expect a fair trial from the country's judicial system.
The Language of Justice: The judicial languages in the country are French and English.
Recourse to an Interpreter: The Cameroonian government provides for interpreters for defendants. However, these interpreters are called only once the trial starts. Thus, for all the steps before the trial, one has to make do without an interpreter. In addition, the transmission of legal information is always problematic. The message is often distorted and the interpreter does not always find the right words to translate it.
Sources of the Law and Legal Similarities: The main source of the law is the constitution of 1972 (approved by referendum, and revised in January 1996) which is based on the French civil law system. The country accepts compulsory ICJ jurisdiction.
Checking National Laws Online: Laws on finances
Cameroon Laws

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Standards

National Standards Organizations: Standards and Quality Agency
Integration in the International Standards Network: Cameroon is a member of the International Organization for Standardization (ISO), the International Telecommunication Union (ITU), and the Francophonie and Standardization Network (RNF). It is also a member of the African Intellectual Property Organization (AIPO), the Paris Convention concerning intellectual protection, as well as a member of the International Organization for Intellectual Property.
Classification of Standards: The Cameroonian standards are the NC, derived from the French and the international (ISO) ones.
Online Consultation of Standards: The Cameroonian standards are available yet on the ANOR website.
Certification Organizations: Standards and Quality Agency

Business Practices

General Information: CGCI, Invest in Cameroon
Opening Hours and Days: Banks as well as Government offices are open from Monday to Friday from 7h30 to 15h00.
Shops are open from 9h00 to 12h00 and in the afternoon from 15h00 to 18h00 from Monday to Saturday.

Public Holidays

New Year	1st January
Aid el Adha	Variable
Aid el Fitr	Variable
Youth Day	11th February
Saint Friday	March or April
Labor Day	1st May
Ascension	May
National Day	20th May
Assumption	15th August
Christmas	25th December

Periods When Companies Usually Close

Christmas (companies function at a slackened pace during this period)	15th December to 5th January
The Easter week	variable according to the year

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