Finance law 2016
The main innovations introduced by the Finance Law 2016 for management provided by Law No. 53/2015 of 25 December 2015
Corporate Tax and Personal Income Tax Matters
- Improvement of the profit from the flat-rate regime
- Expansion of the scope of personal income tax
- Clarification regarding capital gains on the sale of shares or interests
- Reduction of the withholding tax rate on real estate income
- Deduction of two-thirds of the income of individuals working in certain sectors from the tax base
- Limitation of the taxable base to a 10% rate on the operating income of companies subject to this rate under corporate tax
- Deduction of abandoned receivables with a nominal value of less than 100 dinars
- Deduction of provisions for doubtful debts contracted with the state without legal action
- Postponement of the generalization of the exemption for income categories not exceeding 5,000 DT
- Reduction of the advance tax rate required from partnerships
- Imposition of withholding tax on stable establishments that have not filed a declaration of existence
- Improvement of the collection of taxes owed by distributors of goods and products
VAT, Customs Duties, and Consumption Tax Matters
- Encouragement of the use of electronic invoicing
- Clarification of the invoicing obligation for non-commercial professions
- Expansion of the scope of VAT
- Establishment of the VAT determination base on purchases made by taxable traders from non-taxable traders
- Reduction of the withholding tax on VAT from 50% to 25%
- Exemption of commissions from public telecommunications operators from withholding tax on VAT
- Declaration of the existence of land parcels
- Reduction of customs tariff rates on the import of raw materials, semi-finished products, and equipment
- Revision of Consumption Law
In Terms of Investment Encouragements
- Extension of investment incentives provided by Law
- Encouragement of the creation of small and medium enterprises
- Procedures for investment financing
- Increase of the investment grant for promising activities with high levels of integration
- Establishment of a favorable tax regime
Provisions Regarding Registration and Stamp Duty
- Registration of donations to the state, local authorities, and public institutions at a fixed rate
- Exemption from circulation tax and improvement of its collection
- Update of the tax in exchange for the registration procedure and its extension to inheritance declarations
Other Provisions
- Decentralization of the decision to withdraw from the flat-rate regime
- Adoption of an electronic system for on-site sales registration
- Provisions to enhance transparency in information exchange
- Sanctions for failure to present IT applications during a tax audit
- Sanctions for the use of false invoices and failure to file a declaration of existence
- Personal sanctions extended to de facto directors
- Facilitation of the suspension of the enforceability of tax assessments
- Granting of reductions on the amounts of tax debts
- Granting of reductions on the amounts of fines for customs violations
- Abrogation of the exit tax and its replacement with a tax on international air travel