Umbrella Company in Cote D'Ivoire

Independent contracting in Cote d’Ivoire isn’t always straightforward. You’ve got immigration issues, tax difficulties, and mountains of complex admin work. Even worse, missteps can cost you serious money, or even land you in legal trouble.

Before you consider taking a contract in Cote d’Ivoire, you should be aware of what you’re getting into – and how you can make it simpler.

Difficulties of Contracting in Cote D'Ivoire

Generally, you need to have an employer sponsor in order to secure the appropriate work permit and work visa for Cote d’Ivoire.

If you’re working independently, it can be difficult to find clients willing to sponsor you. Moreover, even if your client can do this, you’ll need a new sponsor each time you decide to take on a new contract. Of course, every new sponsor will mean more paperwork.

Also, are you familiar with the intricacies of the tax system in Cote d’Ivoire, as well as your own country’s laws on overseas earnings? If so, good on you!

However, if you’re like the rest of us, figuring out (much less reducing) your tax liability in Cote d’Ivoire and your home country can seem like full-time work in itself.

How Umbrella Companies Work

Most freelance workers aren’t superheroes who successfully tackle these issues all on their own. There are companies who specialise in helping workers make the most out of their contracts.

They’re called Umbrella Companies (or, contractor management companies).

Basically, an Umbrella Company acts as your full-time employer, even though you maintain your independence as a contractor. They collect and filter payments from your clients, filtering out the necessary social security and fees. You send them your timesheets, and they send you payments.

Because they act as your “employer,’ they can sponsor you and provide a single work permit for multiple contracts in Cote d’Ivoire. Even better, most are experts in Cote d’Ivoirian and expat tax law, meaning they’ll also help you optimise your earnings in Cote d’Ivoire.

Although the Umbrella Company is technically your “employer,” you’re essentially freeing yourself to work even more independently. You still dictate your contracts, your hours, your schedule. The Umbrella Company simply filters out the time-consuming admin and immigration issues, allowing you to focus on your new contract.

Why Use an Umbrella Company in Cote D'Ivoire

Most people want to do their work, earn their money and enjoy their spare time without taking on loads of admin in a new country. That is why an umbrella company can help.

When you’re working through an Umbrella Company, you’ll essentially be outsourcing the admin and tax issues to specialists.

While the umbrella company will charge a fee, you’ll likely end up saving more money in the long run: you’ll be able to focus on your work, expertly reduce your tax liability, and comply with all laws and regulations in Cote d’Ivoire (which means avoiding fees, fines, or even worse penalties).

How We Can Help You

There’s a huge variety of Umbrella Companies with different specialities and advantages in Cote d’Ivoire. How do you find the right one for your circumstances?

We work closely with Umbrella Companies all throughout Cote d’Ivoire and match contractors with the right company for them. If you’ve already secured a contract in Cote d’Ivoire, we can help you find your best match (for free). Or, we can simply give you feedback on your situation (for free).

A Contractor's Guide to Taxes in Cote D'Ivoire

One of the most consistently challenging aspects of contracting in Cote d’Ivoire is complying with the country’s tax system. As well as paying tax in Cote d’Ivoire, you might also still be eligible to pay some tax in your home country, and understanding the legislation behind this can be a challenge.

How do I calculate my taxable income in Cote D'Ivoire

If you’re working in Cote d’Ivoire under a permanent contract, many employers will handle your tax under the PAYE (pay-as-you-earn) system. This means that they calculate and process your taxes in Cote d’Ivoire for you and then send you a net wage. Your income tax, public health insurance, social security and other deductions will all be covered by this payment. This is the easiest way to handle your income tax in Cote d’Ivoire, but contractors may not be offered this service because of their short stay with each employer.

Anybody who can’t pay their tax in Cote d’Ivoire through PAYE is left with the prospect doing everything themselves.

Do you know much about Cote d’Ivoirian Tax Law? Does Cote d’Ivoire have a tax treaty with your home country? You will need to find out or find someone who can help! Income tax in Cote d’Ivoire can range from 1.5 to 10 percent, and you need to be sure you are placed in the correct tax brackets.

Tax Filing in Cote D'Ivoire


When Do You Need to Lodge Your Tax Return?1 May
Tax Filing Deadline1 May
Can you file it online?Yes, https://www.e-impots.gouv.ci/

How to File Taxes in Cote D'Ivoire

The tax year in Cote d’Ivoire is the calendar year.

Employees whose income tax is withheld at source by employers are not required to file tax returns, unless they have additional sources of income and/or more than 1 employer.

Until 31 December 2018, tax declaration is suspended for individuals.

Tax Figures in Cote D'Ivoire

CurrencyCFA Franc (XOF)
Tax-free Threshold in Cote D'IvoireXOF600,000
Income Tax Rates
Grossed Income Tax Rate (%)
0 - 300,000 0%
>300,000 - 525,000 10%
>525,000 - 900,000 15%
>900,000 - 1,350,000 20%
>1,350,000 - 2,250,000 25%
>2,250,000 - 3,750,000 35%
3,750,000 - 7,500,000 45%
>7,500,000 60%
Notes

General Income Tax

The rates in the table above are General Income Tax rates on employment income. Taxable income is calculated using the following formula:

Net Taxable Income = [80% of Gross Taxable Income – (Salary Tax + National Contribution)] x 85%

Salary Tax

Salary tax is levied at 1.5% of 80% of gross taxable income.

National Contribution

The national contribution is calculated using the following formula:

National Contribution = (80% x Gross Income x Tax Rate) - Variable

Taxable Base (XOF)

Tax Rate (%)

Variable (XOF)

0 – 600,000

0

0

>600,000 – 1,560,000

1.5

9,000

>1,560,000 – 2,400,000

5

63,600

>2,400,000

10

183,600

Family Allowances: Net taxable income is adjusted according to the number of family members. It is divided by the number of family allowances. The final tax liability is calculated by multiplying the tax computed for 1 allowance by the number of allowances claimed. No more than 5 allowances may be claimed.

Type of Allowance

Number of Allowances

Single, divorced or widowed with no children

1

Married with no children, single or divorced with 1 child

2

Each additional child

0.5

Non-Residents

Non-residents are taxed at a flat rate of 20%.

Tax Residency in Cote D'Ivoire

When do you become a tax resident in Cote D'Ivoire

You become a tax resident in Cote d’Ivoire when:

  • You reside in Cote d’Ivoire as an owner or tenant of a dwelling (with a lease of 1 year or more);
  • Your principal place of resident is in Cote d’Ivoire; or

You are an employee who continues to be paid by your employer in Cote d’Ivoire when you are absent.

Does the 183 day rule apply in Cote D'Ivoire

No

Am I taxed on my global income in Cote D'Ivoire

Residents are taxed on their global income. Non-residents are taxed on their Cote d’Ivoire-source income only.

Can you set up your own Limited Company in Cote D'Ivoire

How long does it take to set up 7 days
How much does it costXOF145,000
Is it easy? Starting a Business Rank: 44/190 (Source: World Bank)

Tax Calculator in Cote D'Ivoire

If you are a contractor and want a calculation on your tax and net retention in Cote d’Ivoire, we can supply it to you free of charge.

Using an Umbrella Company for Income Tax in Cote D'Ivoire

Contractors in Cote d’Ivoire are faced with masses of paperwork and numerous wasted hours filing a tax return unless they find an alternative option. A Cote d’Ivoirian umbrella company can act as your employer during your stay in the country whilst still allowing you the freedom of a contractor. The only difference is that you submit your timesheets to them; they’ll calculate and pay your taxes as you earn, and then you receive a net wage (as well as documentation for your records).

The companies are experts in Cote d’Ivoirian taxation, and they’ll ensure that you keep the largest proportion of your earnings whilst complying with local laws. They can deal with any issues with the Cote d’Ivoirian tax office or tax department directly including processing your tax refund if you are eligible.

How We Can Help You with Tax in Cote D'Ivoire

We work with numerous umbrella companies in Cote d’Ivoirian, many of whom are experts in tax and immigration laws. If you have any questions about tax in Cote d’Ivoirian, we’ll get the answers from them directly so you can rest assured you’ll be getting accurate information. We have comprehensive knowledge of the different services they provide, and can help you find the right company to handle your income tax. We help oil and gas workers, software developers, IT project managers, testers, business analysts and telecommunications contractors get tax efficient payments and sponsorship for their Cote d’Ivoirian work permit.

Our advice is 100 percent free, and comes with no obligations. You will be paying taxes in Cote d’Ivoirian but without the overhead of directly dealing with the Cote d’Ivoirian tax authorities. Get in touch with us today for some reliable advice on tax in Cote d’Ivoire!

A Contractor's Guide to Work Permits in Cote D'Ivoire

Immigration is one of the primary concerns for any contractor hoping to start working in Cote d’Ivoire. Permanent employees will find it easy to get their Cote d’Ivoirian work permit because they’ll receive “sponsorship” for their entire stay from their prospective employer.

The Cote d’Ivoirian work permit, is dependent on this sponsorship because it confirms that you’ll be earning money during your stay in the country. Contracting in Cote d’Ivoire is more difficult because the work permit is tied to one employer, so you have to change it to suit each new contract. Thankfully, umbrella companies provide a convenient and effective solution to this issue.

 

How Can Umbrella Companies Help You Get a Work Permit in Cote D'Ivoire ?

As your permanent employer, umbrella companies are able to sponsor you for your Cote d’Ivoirian work permit provided they’re on the register of approved sponsors. Many different companies offer this service, because it makes contracting in Cote d’Ivoire infinitely simpler and saves you the hassle of continuous paperwork. Instead of changing your work permit every time you get a new contract, you can just work how you ordinarily would under the same permit. They protect you from the bureaucratic “rain” of legal compliance with the Cote d’Ivoirian immigration authorities. They can even deal with the Cote d’Ivoirian Embassy directly. 

Through their service you may be able to use a business visa to get started quickly and then transition to a work visa in Cote d’Ivoire. It depends on your specific visa requirements. Be aware you may have to register for a residence permit in Cote d’Ivoire.

Client comment

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Shell International Trading & Shipping