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Somalia vs Cape Verde
Tax Rate Comparison

Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.

🇸🇴 Somalia
vs
🇨🇻 Cape Verde
Tax Year:

💰 Personal Income Tax Calculator

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Individual Income Tax (Top Marginal Rate)

Top Income Tax Rate
0–30%
No change
0–27.5%
No change

VAT / GST / Sales Tax

VAT / GST / Sales Tax
10%
No change
15%
No change

Corporate Tax Rate

Corporate Tax Rate
30%
No change
25%
No change

Capital Gains Tax

Capital Gains Tax
N/A
No change
Taxed as income
No change

Social Security & Payroll

Social Security / Payroll
N/A
No change
8.5% + 16%
No change
State, Regional & Local Taxes

🇸🇴 SomaliaSomalia Tax System

Somalia's formal tax system is extremely limited. The Federal Government has been rebuilding fiscal capacity since 2012 after decades of civil war. Tax revenue is less than 2% of GDP. Customs duties at ports (especially Mogadishu) are the main revenue source. Al-Shabaab controls much of the south and runs a parallel extortion-based taxation system. Income tax legislation exists on paper but enforcement is minimal.

🇨🇻 Cape VerdeCape Verde Tax System

Cape Verde (Cabo Verde) has a progressive income tax system up to 27.5%. IVA (VAT) is 15%. As a small island developing state with few natural resources, the economy depends on tourism and remittances. The country has a relatively good governance record for West Africa and is pursuing double taxation agreements. A 10% withholding tax applies to dividends and interest.

⚠️ Disclaimer: Rates shown are standard top/headline rates for informational purposes. Actual tax liability depends on income level, residency, deductions, and tax treaties. 2025–2026 data reflects announced or enacted rates and may be subject to change. Not financial or legal advice.

Somalia vs Cape Verde: Key Tax Differences (2026)

💰 Income Tax: 🇸🇴 Somalia has a higher top income tax rate (0–30% vs 0–27.5%). 🇨🇻 Cape Verde is more favourable for high earners.

🛒 VAT/Sales Tax: Cape Verde has a higher consumption tax (10% vs 15%).

🏢 Corporate Tax: 🇨🇻 Cape Verde offers a lower corporate rate (25% vs 30%), which can influence business location decisions.

📈 Capital Gains: 🇸🇴 Somalia taxes investment gains at a lower rate (0% vs 25%), benefiting investors.

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All 🇸🇴 Somalia comparisons →All 🇨🇻 Cape Verde comparisons →