Import taxes and fees for products entering Angola are calculated on CIF (cost, insurance and freight) value of the product and include:
- Import duty can vary from: 2 to 50 percent
- General customs fee: 2 percent
- Brokerage fee: 0.5 to 2 percent average
- Port fees: US$ 90 for 20’ container and US$ 153 for 40’ container
- Terminal handling port fees up to the equivalent of US$ 278 per 20’ container and US$ 473 per 40’ container
- Stamp duty: 1 percent
Angola’s Customs Tariff Regime was updated in August 2018 and subsequently modified in December 2019 to eliminate the 5 percent export tax on crude ores. Import duties are currently on average 10.9 percent with a range from 2 to 50 percent.
A World Trade Organization (WTO) analysis of Angola’s custom tariffs shows that import duties on agriculture and non-agricultural products were on average 19.3 percent and 8.7 percent respectively. Import duties on manufactured goods now average 9.4 percent and mining products average 11.6 percent. The highest sectoral import duties reflect areas where Angola is focusing on domestic production development namely: coffee (23.3 percent), beverages (52.9 percent), fruits and vegetables (35.5 percent), fish and fish products (25 percent), sugar (10.2 percent), cereals (11.7 percent), and wood (18.7 percent). For more information please visit the World Trade Organization (WTO) site.
To determine the cost-build up for import duties and related taxes in Angola for specific products, and for markets worldwide, please visit the Angolan Customs Information’s website.
Import duty exemptions or reductions may be available for raw materials used in industrial production. Investors may also benefit from import duty and other tax deductions as part of their investment contract with the Angolan Government.
Sales to the Angolan government are exempted from import duties. Therefore, most sales into the oil and gas industry are exempted because most of these operations are owned in part by the government oil company Sonangol.
You may also view Customs Info Database.
Value Added Tax (VAT):
Angola eliminated the Consumption Tax and replaced it with a Value Added Tax (VAT). This VAT was implemented on October 1st, 2019, and has a tax rate of 14 percent. VAT will be applied during the first 18 months to large taxpayers (companies). But any company that is not in the “large company” category may opt for immediate application of the VAT upon request.
Demurrage Fees:
There is no charge for demurrage costs for the first 15 days, or terminal storage fees for the first 5 days after delivery to port. After this time, rates are US$ 40/day for demurrage and US$ 61/day for terminal storage for a 40’ container.
Law no. 42/20 was published on December 31, 2020, and introduced a new VAT Regime:
Simplified VAT Regime - which is applicable to taxpayers whose annual turnover and/or import operations of the previous 12 months was equal to 350 million kwanzas or less (US$ 544,000).
This new VAT regime, if applicable to a taxpayer, provides for:
- VAT to be charged at a rate of 7 percent on the turnover amount effectively paid by the customers related to the sales of goods and services subject to VAT and not exempt.
- VAT to be charged (through the reverse-charge mechanism) at a rate of 7 percent, on the services acquired and paid to nonresident entities.
- Recovery of 7 percent of the VAT incurred on the acquisitions of goods and services (including import VAT).
- Refund claims of the correspondent VAT credit.
- With reference to VAT-exempt transactions performed, payment of Stamp Tax at a rate of 7 percent on the receipt of discharge of such transactions related to item 23.3 of the table attached to the Stamp Tax Code, which may be allowed against income tax.
With reference to the General Regime, the following is provided under the Law:
- Taxpayers subject to this regime who carry out exclusively VAT-exempt transactions, should pay Stamp Duty at a 7 percent rate on the receipt of discharge of such transactions related to the item 23.3 of the table attached to the Stamp Tax Code, which may be allowed against income tax.
- Taxpayers from the manufacturing industry mandatorily are subject to the General VAT Regime, regardless of the correspondent annual turnover or import operations and are entitled to deduct the total VAT amount paid to the assessment of income tax.
Scope of VAT
- Taxpayers whose annual turnover or import transactions are equal to or less than 10 million kwanzas are excluded from the scope of VAT.
VAT split-payment mechanism
- A VAT-split payment mechanism was introduced establishing a 2.5 percent VAT retention rate on payments to automatic payment terminals related to the supply of goods or services made by taxpayers. The taxpayers under the General Regime or Simplified Regime may deduct the total VAT withheld under the VAT-split payment mechanism through the correspondent VAT return.
- Financial and banking entities are responsible for ensuring the automatic cash transfer to the Treasury Account of the tax withheld under the mentioned VAT-split payment mechanism, according to the applicable deadlines for reporting obligations.
Other VAT changes
- A reduced VAT rate of 5 percent which applies to the import and supply of certain goods (products of the Basic Basket listed in Annex I of the VAT Code and agricultural inputs).
- The broadening of the taxable amount on import of goods, meaning that VAT should be charged on the amount which also includes duties, taxes and ancillary expenses, among others.
- Operation and playing of gambling establishments and social entertainment, as well as the respective commissions and all related operations are subject to VAT at a 14 percent rate.