International VAT Guides – Cameroon
VAT rates in Cameroon
How much is VAT in Cameroon?
The Standard VAT Rate in Cameroon is 19.25%.
Reduced rates are not in circulation based on the current VAT Cameroon framework and the regulations that define the VAT rules.
Different kinds of supplies of goods or provision of services are exempted from VAT. Some exempted supplies are the State of Fiscal Stamps’ imports or direct sales, postage stamps, and stamped papers. This group can also include insurance services and healthcare services.
| Cameroon VAT Rate | Rate Type | Coverage and imposition |
| 19.25%% | Standard Rate | This applies to all taxable supplies in the country besides those that can benefit from being zero-rated or VAT-exempted |
| 0% | Zero Rate | Exports |
The complexity of the VAT Cameroon legislation requires non-resident providers of digital services or e-commerce sellers to devote a significant part of their business activities to deciphering the challenges of the e-commerce rules specifically mandated for their type of business.
This is why the taxable persons who should comply with the tax provisions in this country and the countries with particular tax legislation should transfer this responsibility to external service providers with the necessary expertise to understand the system’s intricacies clearly.
VAT threshold in Cameroon
The General Tax Code, the complementary Implementing Decrees, and tax Circulars are the foundational basis for adequately understanding the VAT Cameroon rules.
VAT registration threshold for resident businesses: Threshold of XAF 50 million calculated annually
VAT registration threshold for non-resident businesses: Some non-resident businesses with a fixed place of business in Cameroon could profit from being VAT exempted when the mandatory threshold isn’t reached beforehand.
VAT registration threshold for foreign providers of digital services: No threshold
VAT Taxable Activities in Cameroon
Different types of economic activities could trigger the obligation to be VAT registered:
- Supply of goods and services against payment
- Exports of taxable goods
- Imports of goods and services
- Supply of digital services and e-commerce transactions
Implementing the tax provisions that set forth the rules for the mandatory registration, collection, and declaration of VAT by foreign providers of goods and digital services, whether direct sellers or digital platforms, was a very challenging quest for the Ministry of Economy and Tax Administration.
The first legal steps were adopted with the Finance Law for 2020, which introduced the legal background for taxing foreign digital platforms that directly or indirectly supply digital goods and services.
In the following years, the Ministry of Economy and Tax Administration issued a few implementing tax instruments that clarified under what circumstances non-resident e-commerce platform operators or service providers should register for local VAT, submit returns, and make connected payments.
The supplier of goods or provider of services should be aware that the scope of supply that mandates the registration according to the Cameroon VAT rules is extensive.
Tax Representative in Cameroon
In most cases, the digital platform operator or digital service provider should acquire the services of a registered/certified tax agent.
Tax registration
Standard Registration
Domestic and non-resident businesses should follow the standard registration procedure. The mandated documentation should be submitted online.
VAT on Electronically Supplied Services in Cameroon
Digital Services
Considering the applicable VAT provisions, foreign e-commerce and digital platform operators should register for VAT in Cameroon when the place of supply or use and enjoyment of the taxable activity is in the country.
Cameroon VAT regulations are drafted according to OECD standards to determine the place of supply for electronic services.
How much is VAT in Cameroon for Electronically Supplied Services?
VAT rate Cameroon: When it comes to the attribution of the adequate VAT rate for the supply of digital services or distance sales, the standard VAT rate should be levied on most occasions. In Cameroon VAT rate system, the VAT rate for this supply type is 19.25%.
| Example of taxable ESS in Cameroon ↓ |
| Supply of digital products, such as software, connected changes, and updates of the software |
| Services that can be downloaded through the internet and saved on computer and/or mobile devices |
| Supply of music, films, and games, including games of chance and gambling games Services that are ordered online but delivered in a physical location (e.g., short-term accommodation, rental of transport services). For example, the services are supplied through the online digital platforms set up by the foreign entity and used at a physical location in Cameroon. |
| Supply of distance learning |
| Access or download of music to a physical device |
| Access or downloading of images, jingles, films, ringtones, and other audio output |
Invoicing Rules
The issuance of a simplified invoice or invoice is mandatory for e-commerce supplies. The invoice could be issued in French or English. The VAT amounts and total amounts should be indicated in the reporting currency.
Invoice Requirements in Cameroon
The invoice should at least contain the following:
General information:
- Date of invoice issuance;
- Unique invoice number and series.
Seller information:
- Company name;
- Full address (head office);
- Billing address if different from company address;
- VAT number.
Customer information:
- Name;
- Full address;
- VAT number (if applicable);
Fiscal Information:
- Description and breakdown of the goods or services – quantity, discounts, unit price, excl. VAT;
- VAT amount;
- Invoice Total.
Foreign Currency Invoice in Cameroon
In most cases, the invoice should be issued in national currency. When it’s permitted to be issued in foreign currency, the VAT, total, and price of goods/services must be in local currency.
Reporting is done in local currency.
VAT Return in Cameroon
Standard Return
The taxpayers with a place of business in Cameroon(domestic businesses) and foreign businesses with a physical presence in the country should collect and remit tax according to the standard procedure.
VAT Cameroon Return
| VAT Return Name | Standard Return |
| Filling frequency | Monthly and Annually |
| Online Filling | Mandatory |
| Annual Return | No |
| Filing deadline | 15th following the reporting period |
| Payment deadline | Before submission of the return |
| Payment currency | XAF |
| Language | English or French |
| Local VAT acronym | TVA |
Penalties for late reporting and omitted declarations
If a taxable person makes a late payment, late registration, or erroneous declaration, different types of penalties could be assessed against the non-compliant taxable person.
Fines and penalties according to VAT Cameroon:
Penalties for late registration – The late registration often bears a fixed penalty of XAF of 250,000;
Penalties for late payment: Late payment interest of 1.5% per month; penalty for non-submission of the VAT return, which resulted in 0 tax payable and a fine up to XAF 100,000
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