Mali Capital Gains Tax Guide 2026
Mali imposes capital gains tax on gains from the disposal of real property. The gain is calculated as the difference between the selling price and the acquisition cost, adjusted for improvements. The tax is administered by the Direction Générale des Impôts under the Code Général des Impôts. Gains on shares and securities are generally not subject to CGT in Mali.
Overview — CGT in Mali
Capital gains tax in Mali applies primarily to disposals of real property (land and buildings). A chargeable gain arises when a person disposes of property for consideration exceeding the indexed acquisition cost and allowable expenses. Disposal includes sale, exchange, or transfer. The tax applies to both individuals and companies. Resident individuals and companies are taxed on gains from Malian property.
CGT on Property Disposals
The CGT rate on property disposals is calculated as part of the general income tax framework. The chargeable gain is: Selling price minus (Indexed acquisition cost + Incidental costs of acquisition and disposal + Enhancement expenditure). Allowable costs include the original purchase price, legal fees, registration fees, and capital improvements. The gain is added to other income and taxed at the taxpayer's marginal IRPP rate (individuals) or CIT rate (companies). A withholding tax of 5% on the gross selling price is applied at the point of sale for non-residents.
Principal Residence Relief
Gain from the disposal of an individual's principal private residence is generally exempt from CGT, provided the property has been occupied as the main residence for at least 5 years. Partial relief may be available where a property has been used partly as a residence and partly for business. Additional residences (second homes, investment properties) are fully chargeable.
Rollover Relief
Rollover relief may be available when the proceeds from the disposal of a business property are reinvested in a replacement business property within a specified period. The gain is deferred by reducing the cost base of the replacement asset. Partial relief is available where only part of the proceeds are reinvested.
FAQs
How do I calculate my chargeable gain?
The chargeable gain is the difference between the disposal proceeds (net of selling costs) and the indexed acquisition cost (plus enhancement expenditure). Example: Buy land for XOF 10,000,000, sell for XOF 20,000,000, costs of XOF 500,000. Gain = 20,000,000 − 10,000,000 − 500,000 = XOF 9,500,000.
Can I offset capital losses against capital gains?
Yes, capital losses in a tax year may be offset against capital gains in the same year. Unrelieved losses may be carried forward for up to 5 years.
What assets are exempt from CGT?
Principal residence (with 5-year occupation), agricultural land held for more than 10 years, and assets transferred on death (no deemed disposal).
Disclaimer
This guide provides general information about Malian capital gains tax for the 2026 tax year. Tax laws and rates may change. Always consult with a qualified Malian tax advisor or the Direction Générale des Impôts for advice specific to your situation. InvestmentKit does not provide tax advice.