Gabon Capital Gains Tax Guide 2026

Overview — Capital Gains Taxation in Gabon

Gabon integrates capital gains into the ordinary income tax base rather than taxing them separately. For individuals, gains from the disposal of capital assets are added to other income (salary, business profits, rental income) and taxed under the progressive IRPP schedule (0–40%). 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.

Tax Rates — Ordinary Income Treatment

Since capital gains are treated as ordinary income, the applicable rate depends on the taxpayer:

• Individuals — progressive IRPP rates 0–40% (8 brackets). A gain of XAF 10,000,000 added to other income could face a marginal rate of up to 40% depending on total income
• Companies — CIT at 30% (standard), 25% (industrial), or 10% (agricultural)
• No separate CGT rate — there is no flat CGT rate like in many other jurisdictions

This means high-income individuals face a top marginal rate of 40% on capital gains, which is relatively high compared to jurisdictions with separate (lower) CGT rates. However, the family quotient system may reduce the effective rate for families.

Property Gains — Specific Rules

Gains from the disposal of real property follow specific rules in Gabon. A withholding tax of 15% on the gross sale price is applied at the point of sale (deducted by the notary and remitted to DGI). This is an advance payment against the final tax liability on the gain. The final gain is calculated as sale price minus acquisition cost (indexed for inflation using official coefficients) plus enhancement costs. The indexed cost method reduces the real gain over long holding periods. 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 Gabonese property are subject to the 15% withholding as a final tax.

Share Disposals & Business Assets

Gains from the disposal of shares in Gabonese companies are taxable as ordinary income. For individuals, the gain is added to other income and taxed at progressive IRPP rates. However, gains from the disposal of shares listed on the BVMAC (Bourse des Valeurs Mobilières de l'Afrique Centrale) may benefit from reduced taxation or exemptions under CEMAC regulations. 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, deferring the gain until the replacement asset is disposed of.

Exemptions & Reliefs

Gabon provides certain exemptions from capital gains taxation:

• Principal residence — gain on sale of main home is exempt if held for more than 5 years
• Small disposals — gains below XAF 1,000,000 in a tax year are exempt for individuals
• Inheritance — no deemed disposal on death; heirs inherit the cost base
• Gifts between spouses — transfers between spouses are exempt from CGT
• Compulsory acquisition — gains from government compulsory purchase may be exempt or deferred

FAQs

How is the indexed acquisition cost calculated for property?

DGI publishes annual indexation coefficients. The original purchase price is multiplied by the coefficient applicable to the years elapsed since acquisition. For example, if the coefficient for a 10-year hold is 1.25, a purchase price of XAF 50,000,000 becomes XAF 62,500,000 for gain calculation purposes, reducing the taxable gain.

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. Losses cannot be offset against salary or business income.

Are gains from BVMAC-listed shares taxable?

Under CEMAC regulations, gains from the disposal of shares listed on the regional BVMAC stock exchange may be exempt from tax or subject to reduced rates. The specific treatment depends on the holding period and whether the shareholder is an individual or a company.

Disclaimer

This guide provides general information about Gabonese capital gains tax for the 2026 tax year. Tax laws and rates may change. Always consult with a qualified Gabonese tax advisor or the Direction Générale des Impôts for advice specific to your situation. InvestmentKit does not provide tax advice.