Gambia Corporate Tax Guide 2026
Gambia's corporate income tax (CIT) is 27% for resident companies operating under a territorial tax system. Gambia does not tax foreign-source income of resident companies. The tax year is the calendar year. The Gambia Revenue Authority (GRA) administers all corporate tax under the Income and VAT Act. Capital allowances are available for qualifying business assets.
Overview — Corporate Tax in Gambia
Corporate tax in Gambia is governed by the Income and VAT Act and administered by the Gambia Revenue Authority (GRA). A company is tax resident if it is incorporated in Gambia or has its place of effective management in Gambia. Under the territorial system, resident companies are taxed only on Gambia-source income. Non-resident companies with a permanent establishment in Gambia are taxed on Gambia-source income only. Companies must register for tax with GRA and obtain a Taxpayer Identification Number (TIN). The tax year aligns with the calendar year. Annual returns are due within four months after the end of the accounting period.
Standard Corporate Tax Rate — 27%
The standard CIT rate for resident companies in Gambia is 27% of taxable profits. Non-resident companies with a permanent establishment in Gambia are also taxed at 27% on Gambia-source income. Taxable profit is computed as gross revenue less allowable deductions including operating expenses, depreciation (capital allowances), interest costs, and losses carried forward. Losses may be carried forward for up to 5 years. Capital gains are included in ordinary taxable income and taxed at the standard corporate rate.
Reduced Rates & Incentives
Gambia offers reduced CIT rates and incentives for qualifying activities:
- Agriculture enterprises — reduced CIT rates for qualifying agricultural activities, including crop farming and livestock
- Export-oriented enterprises — preferential tax treatment for companies exporting at least 80% of production
- GIEPA-certified enterprises — tax holidays of up to 10 years for qualifying investments under the Investment Code
- Free zones — exemptions from CIT and customs duties for companies operating in designated export processing zones
Companies should apply for incentive status through GIEPA before commencing operations.
Capital Allowances
Depreciation is not deductible for tax purposes. Instead, capital allowances are available on qualifying fixed assets:
- Industrial buildings — 5% per annum straight line
- Plant and machinery — 15% per annum reducing balance
- Motor vehicles — 20% per annum reducing balance
- Computer equipment — 25% per annum straight line
- Furniture and fittings — 10% per annum reducing balance
Capital allowances are claimed in the annual tax return. Unrelieved capital allowances may be carried forward indefinitely.
FAQs
What is the penalty for late filing of corporate tax returns?
Late filing attracts penalties and interest on unpaid tax. The GRA imposes a penalty of 5% of the tax due plus interest at 1.5% per month on unpaid amounts. Additional penalties may apply for failure to maintain proper records.
Can foreign companies claim treaty relief?
Gambia has a limited network of double tax treaties. Treaty relief may reduce withholding tax rates on dividends, interest, and royalties paid to non-residents from treaty partner countries.
Is foreign income of a Gambian company taxable?
No, Gambia operates a territorial tax system. Foreign-source income of a resident company is generally exempt from Gambian CIT, provided the income has been subject to tax in the source country.
Disclaimer
This guide provides general information about Gambian corporate tax for the 2026 tax year. Tax laws and rates may change. Always consult with a qualified Gambian tax advisor or the Gambia Revenue Authority for advice specific to your situation. InvestmentKit does not provide tax advice.