Use for Djibouti business profits tax for tax year 2026: IBP 25%, minimum tax 1% with a 120,000 floor, three instalments, the 1 April return, dividends 5% and non-resident 25% withholding.
Djibouti · tax year 2026 · changed 25 Jun 2026
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Sources read 1 Nov 2026 for tax year 2026
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| Item | Figure | Conditions | Source |
|---|---|---|---|
| IBP rate | 25% | Net taxable profit (art. 56). Fraction under 1,000 ignored | https://www.ministere-finances.dj/TVA/CGI%20%202010.pdf |
| Minimum tax IMF | 1% | Turnover before VAT of the previous year; due if higher than IBP or on a loss; not deductible (arts. 57 to 61). Export turnover included (LF 2024 art. 6) | https://www.ministere-finances.dj/TVA/CGI%20%202010.pdf |
| IMF floor | 120,000 | Art. 60. If patente is under 120,000, IMF equals the patente (art. 62) | https://www.ministere-finances.dj/TVA/CGI%20%202010.pdf |
| Instalments | 3 at 25% each | Of last year's tax. None if that tax is 120,000 or less (LF 2023 art. 22, arts. 293 bis, 294 bis) | https://www.journalofficiel.dj/texte-juridique/loi-de-finances-n181-an-22-8eme-l-portant-budget-initial-de-letat-de-lexercice-2023/ |
| Dividends and directors fees | 5% | Withheld on amounts distributed, residents and non-residents (art. 90L, LF 2024; art. 90G restored by LFR 2025 art. 7, without the old 10 million exemption). Free-zone and investment-code firms included. Undistributed profit not taxed | https://www.journalofficiel.dj/texte-juridique/loi-n-189-an-25-9eme-l-portant-budget-rectificatif-de-letat-pour-lexercice-2025/ |
| Non-resident payments | 25% | Gross before VAT on fees, royalties, head-office charges, studies, technical assistance (arts. 72, 74; art. 75 al. 2 as amended by LF 2024 art. 26, was 10%). Art. 73 exemptions for dividends and for financial and insurance payments were repealed (LF 2025 art. 6) | https://www.journalofficiel.dj/texte-juridique/loi-de-finances-n-64-an-23-9eme-l-portant-budget-initial-de-letat-pour-lexercice-2024/ |
| Outgoing international transfers | 0.2% | Withheld by banks, mobile and transfer firms; exempt under 53,316.3; cap 17,721 per operation; no cap on account-to-account inside one institution (LFR 2025 art. 6). Replaces the 2025 mobile money wording | https://www.journalofficiel.dj/texte-juridique/loi-n-189-an-25-9eme-l-portant-budget-rectificatif-de-letat-pour-lexercice-2025/ |
| Simplified regime limit | 20,000,000 goods; 10,000,000 others | Art. 36 as amended 2013 | https://www.journalofficiel.dj/texte-juridique/loi-n197-an-12-6eme-l-portant-budget-de-letat-pour-lexercice-2013/ |
| Financial income tax | 20% | Impot d incitation sociale, art. 82, on the art. 80 income | https://www.ministere-finances.dj/TVA/CGI%20%202010.pdf |
| Gains on business assets | 25% inside profit | Art. 66 as completed 2016: titles on the balance sheet stay in IBP | https://www.journalofficiel.dj/texte-juridique/loi-de-finances-n120-an-15-7eme-l-portant-budget-initial-de-letat-pour-lexercice-2016/ |
| Micro firm and TPE | 2,000,000 / 5,000,000 turnover | Djiboutian nationals, listed sectors; exempt from all tax in years 1 and 2 (LF 2023 arts. 6 to 11) | https://www.journalofficiel.dj/texte-juridique/loi-de-finances-n181-an-22-8eme-l-portant-budget-initial-de-letat-de-lexercice-2023/ |
Individuals and companies with commercial, industrial, craft or professional activity in Djibouti (arts. 19 to 21, 25). Exports are inside the tax since 2023. Investment-code and free-zone firms: see art. 62 and their own codes.
| Item | Figure | Conditions | Source |
|---|---|---|---|
| IBP rate | 25% | Net taxable profit (art. 56). Fraction under 1,000 ignored | https://www.ministere-finances.dj/TVA/CGI%20%202010.pdf |
| Minimum tax IMF | 1% | Turnover before VAT of the previous year; due if higher than IBP or on a loss; not deductible (arts. 57 to 61). Export turnover included (LF 2024 art. 6) | https://www.ministere-finances.dj/TVA/CGI%20%202010.pdf |
| IMF floor | 120,000 | Art. 60. If patente is under 120,000, IMF equals the patente (art. 62) | https://www.ministere-finances.dj/TVA/CGI%20%202010.pdf |
| Instalments | 3 at 25% each | Of last year's tax. None if that tax is 120,000 or less (LF 2023 art. 22, arts. 293 bis, 294 bis) | https://www.journalofficiel.dj/texte-juridique/loi-de-finances-n181-an-22-8eme-l-portant-budget-initial-de-letat-de-lexercice-2023/ |
| Dividends and directors fees | 5% | Withheld on amounts distributed, residents and non-residents (art. 90L, LF 2024; art. 90G restored by LFR 2025 art. 7, without the old 10 million exemption). Free-zone and investment-code firms included. Undistributed profit not taxed | https://www.journalofficiel.dj/texte-juridique/loi-n-189-an-25-9eme-l-portant-budget-rectificatif-de-letat-pour-lexercice-2025/ |
| Non-resident payments | 25% | Gross before VAT on fees, royalties, head-office charges, studies, technical assistance (arts. 72, 74; art. 75 al. 2 as amended by LF 2024 art. 26, was 10%). Art. 73 exemptions for dividends and for financial and insurance payments were repealed (LF 2025 art. 6) | https://www.journalofficiel.dj/texte-juridique/loi-de-finances-n-64-an-23-9eme-l-portant-budget-initial-de-letat-pour-lexercice-2024/ |
| Outgoing international transfers | 0.2% | Withheld by banks, mobile and transfer firms; exempt under 53,316.3; cap 17,721 per operation; no cap on account-to-account inside one institution (LFR 2025 art. 6). Replaces the 2025 mobile money wording | https://www.journalofficiel.dj/texte-juridique/loi-n-189-an-25-9eme-l-portant-budget-rectificatif-de-letat-pour-lexercice-2025/ |
| Simplified regime limit | 20,000,000 goods; 10,000,000 others | Art. 36 as amended 2013 | https://www.journalofficiel.dj/texte-juridique/loi-n197-an-12-6eme-l-portant-budget-de-letat-pour-lexercice-2013/ |
| Financial income tax | 20% | Impot d incitation sociale, art. 82, on the art. 80 income | https://www.ministere-finances.dj/TVA/CGI%20%202010.pdf |
| Gains on business assets | 25% inside profit | Art. 66 as completed 2016: titles on the balance sheet stay in IBP | https://www.journalofficiel.dj/texte-juridique/loi-de-finances-n120-an-15-7eme-l-portant-budget-initial-de-letat-pour-lexercice-2016/ |
| Micro firm and TPE | 2,000,000 / 5,000,000 turnover | Djiboutian nationals, listed sectors; exempt from all tax in years 1 and 2 (LF 2023 arts. 6 to 11) | https://www.journalofficiel.dj/texte-juridique/loi-de-finances-n181-an-22-8eme-l-portant-budget-initial-de-letat-de-lexercice-2023/ |
Accounting profit adjusted for tax. Tax year is the calendar year (art. 27). A business starting in the last six months may close its first accounts at the end of the next year (art. 28). Payments over 50,000 by VAT-registered firms must be by crossed cheque (art. 90, LF 2016 art. 16). A litigation provision needs a court act (LF 2022 art. 12). Simplified-regime firms keep books with an approved centre or accepted accountant (LF 2022 art. 13).
| Item | Figure | Source |
|---|---|---|
| Withholding not made | Fine equal to the tax not withheld (art. 249) | https://www.ministere-finances.dj/TVA/CGI%20%202010.pdf |
| Late payment | 5% surcharge plus 0.5% interest per month; no 5% on audit assessments (art. 247) | https://www.ministere-finances.dj/TVA/CGI%20%202010.pdf |
| Late or missing return | Interest 5% (art. 246 as amended 2021; the earlier text was 0.5% per month) plus 10% if filed within 10 days of formal notice, 40% after that or never | https://www.journalofficiel.dj/texte-juridique/loi-de-finances-n111-an-20-8eme-l-portant-budget-initial-de-letat-pour-lexercice-2021/ |
Non-resident rate and exemptions above. Tax yields to double tax conventions signed by Djibouti (art. 25). DGI may exchange information with treaty states (art. 244 bis, 2024 rectified law). No transfer pricing rule was found in the texts read.
Example 1: profit 10,000,000, turnover 200,000,000. IBP 2,500,000 beats IMF 2,000,000, so IBP is due.
name: IBP against IMF
inputs:
profit: 10000000
turnover: 200000000
steps:
- ibp: profit*0.25
- imf: max(turnover*0.01,120000)
- due: max(ibp,imf)
expected:
due: 2500000.00
Example 2, the decision: loss year, turnover 8,000,000. 1% is 80,000, so the 120,000 floor applies, unless the patente is lower (art. 62).
name: Loss year floor
inputs:
turnover: 8000000
steps:
- imf: turnover*0.01
- due: max(imf,120000)
expected:
due: 120000.00
Not yet confirmed: The CGI on the official site is the 2011 edition. No consolidated 2026 code could be opened (impots.dj, dgi.dj and economie.gouv.dj did not answer), so each rule is the 2011 text plus the finance laws read; the finance laws found in the gazette for 2013 to 2026 were scanned for tax articles, the 2012 law was not, so an amendment made only there or in a law the gazette search missed would not show. LF 2024 art. 7 repealed the art. 62(3) petroleum company IMF rule, and LF 2025 art. 8 then repealed that art. 7: whether art. 62(3) revived is unsettled. Interest and royalty withholding has no separate rate confirmed beyond the 25% on non-resident payments. The art. 90G restoration in LFR 2025 art. 7 refers to "article 7" of the 2025 law; read here as restoring 90G.
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