Togo Corporate Tax Guide 2026

Overview — Corporate Tax in Togo

Corporate tax in Togo is governed by the Code Général des Impôts (General Tax Code) and administered by the Direction Générale des Impôts (DGI). A company is tax resident if it is incorporated under Togolese law or if its place of effective management is in Togo. Resident companies are taxed on worldwide income; non-resident companies with a permanent establishment in Togo are taxed on Togo-source income only. Companies must register for tax with DGI and obtain a Numéro d'Identification Fiscale (NIF). The standard accounting period is the calendar year, though companies may apply for a different fiscal year with DGI approval. Annual returns are due by 30 April of the following year.

Standard Corporate Tax Rate — 27%

The standard CIT rate for resident companies in Togo is 27% of chargeable profits. Non-resident companies with a permanent establishment in Togo are also taxed at 27% on Togo-source income. Taxable profit is computed as gross revenue less allowable deductions including operating expenses, depreciation (amortissements), interest costs (subject to thin capitalisation rules — maximum debt-to-equity ratio of 3:1), and losses carried forward. Losses may be carried forward for up to 5 years. Capital gains on asset disposals are included in ordinary taxable income and taxed at the standard CIT rate. A minimum tax (Impôt Minimum Forfaitaire — IMF) applies to companies that are loss-making or have a low tax liability relative to turnover.

Reduced Rate — Industrial Enterprises — 25%

Companies classified as industrial enterprises benefit from a reduced CIT rate of 25%. To qualify, the company must be primarily engaged in manufacturing, processing, or industrial production activities. The reduction is designed to promote industrialisation and value-added manufacturing in Togo. Qualifying activities include food processing, textile manufacturing, chemical production, assembly operations, and construction materials production. The reduced rate applies to the portion of profits derived from qualifying industrial activities. Mixed companies (industrial and commercial) must allocate profits between the two rate regimes based on their respective turnover.

Agricultural Activities — 15%

Companies engaged in agricultural, forestry, livestock, and fishing activities benefit from a reduced CIT rate of 15%. This incentive supports Togo's agricultural sector, which employs a significant portion of the workforce. Qualifying activities include crop cultivation (coffee, cocoa, cotton, maize, cassava), livestock farming, poultry, aquaculture, forestry operations, and agri-processing. To qualify, the company must derive at least 50% of its gross revenue from qualifying agricultural activities. Agricultural companies may also benefit from accelerated depreciation on agricultural assets and exemptions from certain local taxes. The government has also introduced tax holidays for agricultural investment zones.

New Businesses — 10% (First 3 Years)

Newly incorporated companies in Togo benefit from a reduced CIT rate of 10% for the first 3 years of operation. This incentive applies to all new companies regardless of sector, provided they meet the following conditions:

• The company must be newly incorporated (not a restructuring of an existing business)
• The reduced rate applies only to the first 3 fiscal years following incorporation
• The company must comply with all tax filing and social security obligations
• The company must maintain proper books of account

After the 3-year period, the company moves to the standard CIT rate (27%) or the applicable reduced sector rate (25% industrial, 15% agriculture). This incentive has made Togo one of the more attractive jurisdictions in the WAEMU region for business start-ups. Combined with the Investment Code incentives, new businesses may also benefit from customs duty exemptions on imported capital equipment.

Minimum Tax (IMF) — 0.5% of Turnover

To ensure a minimum level of tax contribution, Togo imposes a minimum tax (Impôt Minimum Forfaitaire — IMF) of 0.5% of annual turnover for companies that are loss-making or whose CIT liability falls below this threshold. The minimum tax is creditable against future CIT liabilities. For companies in their first 3 years of operation, the minimum tax is reduced to 0.25% of turnover. The IMF applies to all companies regardless of whether they are profitable. Exporting companies may benefit from a reduced minimum tax rate.

FAQs

What is the penalty for late filing of corporate tax returns?

Late filing attracts a penalty of 10% of the tax due plus interest at 0.4% per month. Failure to file after a formal notice may result in an automatic tax assessment by DGI.

Can foreign companies claim treaty relief?

Togo has double tax treaties with WAEMU member states and several other countries. Treaty relief may reduce withholding tax rates on dividends, interest, and royalties paid to non-residents.

Is there a minimum tax for loss-making companies?

Yes, the IMF (Impôt Minimum Forfaitaire) applies at 0.5% of annual turnover for loss-making companies. This is creditable against future CIT when the company becomes profitable.

Disclaimer

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