GUIDE ON COST OF DOING BUSINESS IN THE GAMBIA (2011)
Businesses in The Gambia may be registered as a company, a sole proprietorship, a partnership, or other forms of businesses (namely co-operatives, subsidiaries of other companies).
REQUIREMENTS OF BUSINESS REGISTRATION
When registering a business, a tax deposit is made with the Department of Income Tax. This deposit is paid together with a registration fee, and the amount paid depends on whether the business is being registered as a company, a sole proprietorship, or a partnership. Upon payment, the Department of Income Tax would issue an Income Tax Clearance Certificate to enable the business to be registered.
Investors wishing to seek GIEPA’s support and assistance must first register their business ventures as legal entities operating in The Gambia. The process of registering a business in The Gambia has been simplified and requires the filling of the following documents with the Registrar of Companies:
Memorandum of Association - includes the name and registered place of business of the company, its objectives and authorized share capital subscribed by each shareholder.
Articles of association - provides information on the organizational structure and operational rules of the company.
The costs of registering a business as well as the responsible institutions
| |
Investors |
Institution |
| |
Domestic |
Foreign |
|
| Memorandum of Association. |
This legal fee ranges from US$373-US$653 |
Private Law Firms |
| Articles of Association |
Private Law Firms |
| Pay roll tax (will cover work and resident permit for the calendar year) |
US$334 per individual resident expatriate (ECOWAS Nationals)
US$1334 (All Others)
|
| Income Tax deposit |
US$333
|
US$667 |
Income Tax Dept |
| Business Registration |
US$17 |
US$35 |
Income Tax Dept |
| Stamp Duty |
US$33 |
US$33 |
Income Tax Dept |
| Payment of Share Capital (US$): |
|
| Up to D1, 000,000 |
US$167 |
Registrar of Companies |
| Above D1, 000,000 to D10, 000,000 |
US$834 |
| Above D10, 000,000 to D20, 000,000 |
US$1,500 |
| Above D20, 000,000 to D40, 000,000 |
US$2,167 |
| Above D40, 000,000 to D59, 000,000 |
US$2,834 |
| D60, 000,000 and above |
US$3,334 |
Applicable Taxes
| Direct Taxes |
|
| Personal Income Tax |
Ranges from 10-35% on a graduated basis |
| Corporation Tax |
32% of computed/accepted net profit or 1.5% of turnover of audited accounts or 2.5% of turnover of unaudited accounts
(Whichever is higher) |
| Withholding Tax |
10% of gross receipts |
| Indirect Taxes |
|
| Capital Gains Tax |
15% of net gains or 5% of sales tax (in the case of personal tax) |
| |
25% of net gains or 10% of sales tax (in the case of Company tax) |
| Environmental Tax |
US$0.03 per person per month |
| National Education levy |
Ranges from US$334 to US$667 depending on turnover |
NB: Exchange rate used GMD30.00: US$1
GOODS AND CUSTOMS CLEARANCE PROCEDURES
Transported goods arriving in The Gambia by sea, land, or air can be cleared in a day, which is the fastest in the sub-region.
Goods clearance in The Gambia involves The Gambia Ports Authority (GPA), Customs and Excise Department, and shipping Agencies, all working in the same premises and offering One- Stop services to importers and exporters.
The following documents are required/in the clearing of goods:
- Bill of Lading
- Certificate of Origin
- Delivery Order, and
- A Gate Pass