Equatorial Guinea Capital Gains Tax Guide 2026
Equatorial Guinea imposes a specific 10% capital gains tax on gains from the disposal of real property for individuals. For companies, capital gains are included in ordinary taxable income and taxed at the applicable CIT rate (35% standard, 65β75% oil, 25% mining). Gains from share disposals and business asset sales are treated as ordinary income. The Ministerio de Hacienda administers CGT under the General Tax Code.
Overview β Capital Gains Taxation in Equatorial Guinea
Equatorial Guinea has a specific 10% CGT rate for individuals disposing of real property, which is unique in the CEMAC region. For companies, capital gains are included in chargeable profits and taxed at the applicable CIT rate. The gain is calculated as the difference between the disposal proceeds (net of selling costs) and the acquisition cost (plus enhancement expenditure). A specific regime applies to real property gains with a withholding tax mechanism at source through the notary.
Property Gains β 10% CGT for Individuals
Individuals disposing of real property in Equatorial Guinea are subject to a specific CGT rate of 10% on the net gain. The gain is calculated as the sale price minus the acquisition cost (indexed for inflation) and any allowable enhancement expenditure. A withholding tax is applied at the point of sale and remitted by the notary to the tax authority. The principal residence exemption applies if the property has been held for more than 5 years and was the owner's main home throughout the period. Non-residents selling Equatorial Guinean property are subject to the same 10% rate as a final tax.
Share Disposals & Business Assets
Gains from the disposal of shares in Equatorial Guinean companies are taxable as ordinary income. For individuals, the gain is added to other income and taxed at progressive IRPP rates (10β35%). For companies, gains are included in taxable profit at the applicable CIT rate. Gains from the disposal of business assets (machinery, equipment, goodwill) are included in the company's taxable profit. Rollover relief may be available where the proceeds are reinvested in similar assets within 2 years.
Exemptions & Reliefs
Equatorial Guinea provides certain exemptions from capital gains taxation:
- Principal residence β gain on sale of main home is exempt if held for more than 5 years
- Small disposals β gains below XAF 1,000,000 in a tax year are exempt for individuals
- Inheritance β no deemed disposal on death; heirs inherit the cost base
- Gifts between spouses β transfers between spouses are exempt from CGT
FAQs
How is the indexed acquisition cost calculated for property?
The tax authority publishes annual indexation coefficients. The original purchase price is multiplied by the coefficient applicable to the years elapsed since acquisition, reducing the real gain over long holding periods.
Can I offset capital losses against other income?
Capital losses may be offset against capital gains in the same year. Unrelieved losses may be carried forward for up to 3 years against future capital gains only.
Is there a specific CGT rate for oil and gas asset sales?
Gains from the disposal of oil and gas assets by companies are taxed at the applicable oil sector CIT rate (65β75%). Special rules apply under production-sharing contracts.
Disclaimer
This guide provides general information about Equatorial Guinea capital gains tax for the 2026 tax year. Tax laws and rates may change. Always consult with a qualified Equatorial Guinean tax advisor or the Ministerio de Hacienda for advice specific to your situation. InvestmentKit does not provide tax advice.