Overview
The 2020 Finance Law was officially enacted on 24 December 2019 and incorporated into the 2020 General Tax Code (GTC) which came into force on 1 January 2020. This Code, and its Circular Letter n°006/MINFI/DGI/LRI/L dated 21 February 2020, subjects non-residents supplying electronic services to both Cameroonian individuals - business to consumer ("B2C") and Cameroonian businesses - business to business ("B2B") - to the payment of the VAT.
The law requires both resident and non-resident operators of e-commerce platforms operating in Cameroon to pay VAT on goods and services sold within Cameroonian territory, as well as on any commissions earned. E-commerce platforms are defined as tools that remotely connect people electronically for the sale of goods or the provision of services. In line with this, Section 127(15) of the Code subjects all commercial operations conducted in Cameroon through such platforms to VAT, while Section 127(16) specifically extends VAT to commissions arising from these transactions.
Section 149 (c) of the same Code provides that the VAT due on the sale of goods and services provided through e-commerce platforms must be calculated, declared, and paid into the Treasury by the non-resident supplier, who is required to register for VAT in Cameroon.
In 2026, Cameroon introduced major additions like:
- Mandatory real time e-invoicing for VAT transactions; and
- A 3% minimum tax on gross income from Cameroon sourced digital activities for non-resident platforms and a Significant Economic Presence (SEP) nexus with thresholds of XAF 50 million (circa USD 90,000) revenue or 1,000 users in Cameroon.
Key provisions applicable to VAT on ESS
| Particulars | Description |
| Scope | B2B and B2C |
| Liability to remit VAT | Non-resident supplier |
| VAT rate | 19.25% |
| Taxable value | Price payable by the recipient of the supply |
| Effective date | B2B and B2C sales from 1 January 2020, e-invoicing and digital platform minimum tax effective 1 January 2026 |
| VAT registration threshold | Not applicable |
| Tax invoice | There is a requirement to issue a tax invoice detailing the VAT paid for the services, from 2026, mandatory certified electronic invoicing. |
Services in scope
The services affected by this law include services of any kind which are provided in Cameroon through electronic platforms by non-resident vendors/suppliers, as long as the customer is based in Cameroon. According to the Circular, an electronic platform is a digital tool that electronically connects people with a view to selling a good or providing a service. Such a platform may be used:
- By an operator who connects suppliers and customers; and
- By a supplier for the distribution of its products or services.
E-commerce platforms are considered foreign platforms when they are operated by non-residents. Similarly, when a non-resident supplier uses a Cameroonian platform, if their supplies are to consumers in Cameroon, then their services would be subject to VAT.
Neither the Finance Law nor its implementing circular lists any specific services that fall within the scope of application.
The scope is therefore broad, covering, without distinction:
- Sales of goods and services carried out on Cameroonian territory or through foreign or local e-commerce platforms;
- Commissions received by e-commerce platform operators in connection with transactions carried out.
Registration and compliance
Non-resident suppliers are obligated to register themselves with the Cameroon tax authorities. These suppliers benefit from a simplified registration process which can be done remotely. They must apply for registration online via the Direction Générale des Impôts’ (DGI or Directorate General of Taxation’s) website.
For platforms already operating in Cameroon, this obligation must be fulfilled 15 days following the date they were notified by the tax administration of their filing obligations. The tax authorities assume non-resident platform operators have been aware of their obligation to register since 1 January 2020. Non-residents operating newly created platforms must register as soon as they begin operations in Cameroon.
In addition, they are obliged to assess, collect, and remit VAT on all services and commissions received from the performance of services rendered on Cameroonian soil. Where the transactions relate to provision of services, the VAT can be collected and remitted by the platform operator. However, it should be noted that if a service has been acquired via the platform by a taxpayer liable for VAT in Cameroon and the non-resident platform operator has failed to fulfil his obligation to collect and remit VAT, the local customer liable to VAT is exceptionally entitled to assess, collect and pay the VAT (reverse charge mechanism).
Non-resident suppliers are obliged to complete and submit monthly VAT returns online via the Directorate General of Taxation’s website. The deadline for submitting the VAT returns and payment of this VAT is by the 15th of the following month in which the services were rendered.
Invoicing
Non-resident suppliers providing the electronically supplied services are required to issue electronic tax invoices. From 1 January 2026, Cameroon mandates real-time e-invoicing using certified solutions, with structured data transmitted to the tax authority for validation/recording. Suppliers must issue compliant electronic tax invoices. Language and currency generally follow business practice (French/English; XAF), subject to specific platform requirements that will be clarified by implementing rules.
VAT on costs
The legislation does not provide a specific answer for the case of non-resident suppliers of ESS.
The general principle in force in Cameroon is that only persons liable to tax who are registered and subject to the "actual earnings tax system" (i.e., those with an annual turnover excluding tax equal to or greater than FCFA 50 million) and who are on the list of active taxpayers who are up to date with their tax obligations may recover VAT on costs.
This can be obtained through the deduction mechanism. As such, given that the law is not clear on whether non-resident supplier can recover input tax in Cameroon, the general rules should apply i.e. VAT borne in Cameroon by these entities should be deductible if they meet the general rules for input tax deduction.
Other considerations
Non-resident suppliers without presence or legal representation, should take note of the Special Income Tax (SIT) which is levied at a rate of 15% on amounts paid abroad, as remuneration for various services provided from abroad but used in Cameroon. This is similar to Withholding Tax.
From 1 Jan 2026, non-resident digital providers with Significant Economic Presence (SEP) must also register on the DGI digital portal to report Cameroon sourced gross receipts and, where applicable, pay the 3% minimum tax or opt into standard CIT at 30% with conditions.
Whilst SIT applies to non-resident companies without presence or legal representative in Cameroon, SEP only applies to non-resident companies that have met the SEP criteria i.e. either earning 50 million XAF (circa USD 90,000) in annual turnover generated from customers in Cameroon or 1,000 or more customers or account holders located in Cameroon.
VAT on cryptocurrency/digital assets
Currently, Cameroon does not have specific VAT rules or regulations relating to cryptocurrency-related activities or digital assets.
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