Senegal Rental Income Guide 2026

Overview — Rental Income Tax in Senegal

Rental income from letting or leasing of immovable property (land and buildings) is chargeable to tax in Senegal. For individuals letting residential or commercial property, a withholding tax of 20% on gross rental income applies (Régime d'Imposition Simplifié), unless the individual opts for assessment under the progressive IRPP rates with actual expense deductions. The tenant is responsible for withholding the tax and remitting it to DGID within 15 days of the payment. Companies receiving rental income are taxed at the standard IS rate (25%) on net rental income.

Residential & Commercial Property — 20% WHT on Gross Rent

For individual landlords letting property, the rental income tax is a 20% withholding tax on gross rent. This is generally a final tax for individual landlords under the simplified regime. The tenant deducts 20% from the rent before paying the landlord and remits the withheld amount to DGID. The landlord receives a withholding tax certificate as proof of tax payment. The 20% WHT applies regardless of whether the property is furnished or unfurnished. Service charges and utilities reimbursed by the tenant are generally not subject to WHT if separately identified in the lease agreement.

Opting for Assessment — Deductions for Expenses

Individual landlords may elect to be assessed under the progressive IRPP rates (0–40%) instead of the simplified 20% WHT. This may be beneficial where allowable expenses significantly reduce the net rental income. Deductible expenses include:

• Repairs & maintenance — not capital improvements
• Property management fees — paid to licensed agents
• Insurance premiums — building and fire insurance
• Mortgage interest — interest on loans used to acquire or improve the property
• Taxe foncière — annual land tax on built properties
• Notarial and legal fees — for lease agreements and tenant matters

To claim deductions, the landlord must file an annual rental income return with DGID. The election must be made in the annual return; otherwise, the simplified 20% WHT applies.

Taxe Foncière & Other Owner Obligations

The taxe foncière is an annual tax on built properties payable by the owner. The tax is based on the cadastral rental value of the property and varies by location and property characteristics. Even if a property is vacant, the taxe foncière remains payable. Landlords may deduct the taxe foncière paid from rental income if they have opted for assessment under the actual expense regime. Short-term letting (e.g., Airbnb, holiday rentals) is also subject to rental income tax — the 20% WHT applies on the gross rent received from each booking.

FAQs

Who is responsible for withholding rental tax?

The tenant is responsible for withholding the 20% tax at source and remitting it to DGID within 15 days of the rent payment. If the tenant fails to withhold, the landlord remains liable for the tax. Property agents acting on behalf of tenants also have withholding obligations.

What if I rent my property through an agency?

The agency may be designated as the withholding agent. The agency must deduct the 20% WHT before remitting net proceeds to you and issue a withholding tax certificate.

Are advance rent payments taxable in one year?

Yes, rental income is taxable in the year it is received, regardless of the period it covers. If you receive 2 years' rent in a single payment, the full amount is subject to WHT in that year.

Disclaimer

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