This article provides a comprehensive overview of Mauritania’s (MR) corporate tax regime for 2025, including headline rates, key conditions, and supplementary levies that businesses must consider when operating or investing in the country.
Corporate Tax Overview in Mauritania
Mauritania applies a flat corporate income tax to companies operating within its jurisdiction. The assessment is based on the taxable profits of the corporate entity. The official currency is the Mauritanian Ouguiya (MRU).
| Tax Type | Rate (%) | Assessment Basis | Currency (MRU) |
|---|---|---|---|
| Corporate Income Tax (Flat Rate) | 25% | Corporate Profits | MRU |
This flat rate of 25% applies to the net taxable profit of Mauritanian companies in 2025. At present, there are no progressive tax brackets for corporate profits; the single rate makes for a straightforward calculation for businesses regardless of profit level.
Surtaxes and Withholding Taxes
In addition to the main corporate tax, Mauritania enforces certain surtaxes and special levies under specific conditions. These are important for both domestic and foreign businesses alike, particularly those structured as branches of foreign entities.
| Surtax Type | Rate (%) | Condition |
|---|---|---|
| Alternative Corporate Surtax | 2% | If 2% of the income listed in article 8 (excluding transfers and reversals of charges) exceeds 25% of net taxable profit, the 2% rate applies instead of the standard 25%. |
| Branch Withholding Tax | 10% | Applied to after-tax income for profits realized in Mauritania by branches of foreign companies. |
The 2% alternative surtax is a special provision; if certain categories of income, as defined by legislation (specifically article 8), constitute a sufficiently large share of total taxable profits, this lower rate may override the standard flat rate. This calculation depends on the relationship between gross income components and net profits, which is assessed annually.
For foreign branches, Mauritania imposes a 10% branch withholding tax on the after-tax profits earned locally. This additional levy is relevant for multinational enterprises and should be factored into cross-border tax planning.
Capital Gains Tax and Holding Periods
Publicly disclosed data on distinct capital gains rates or required holding periods for preferential taxation in Mauritania is not available for 2025. Businesses should anticipate the general corporate tax rules to apply to capital gains realized by companies unless specific exemptions are enacted by updated regulations.
Pro Tips for Navigating Mauritania’s Corporate Tax System
- Carefully review the breakdown of gross income versus net taxable profits to determine if the 2% alternative surtax could apply, particularly for businesses with significant exempt or non-operating income.
- If operating as a branch of a foreign company, budget for the 10% branch withholding tax on after-tax earnings in addition to regular corporate tax liabilities.
- Stay updated with local compliance requirements and reporting rules, as Mauritanian tax authorities may require documentation to substantiate tax computations under complex scenarios.
- Engage with a Mauritania-based tax advisor for specific interpretations of tax article references (e.g., article 8), especially if your company’s income streams are diverse or cross-border in nature.
- All tax obligations should be settled in Mauritanian Ouguiya (MRU); always confirm the latest exchange rates if you report in a different functional currency for group accounting (For conversions, use a reputable rate provider—e.g., as of January 2025, 1 USD ≈ 36 MRU).
Further Resources
For the most current information, official forms, and direct contact with Mauritanian tax authorities, visit the Mauritania Tax Authority homepage.
To summarize, Mauritania’s corporate tax regime in 2025 is built around a flat 25% rate, with targeted surtaxes that can reduce or increase the effective rate in unique circumstances. Understanding when and how these additional levies apply is key to effective corporate tax management in Mauritania. Accurate reporting and awareness of local compliance nuances help businesses anticipate their true tax liability within the country.