Overview
AT on ESS was introduced in Côte d'Ivoire in 2022 to address the growing digital service and e-commerce use. Following its enactment, an explanatory note was issued by the Minister of Finance to address implementation concerns surrounding the law in October 2023.
Key provisions applicable to VAT on ESS
| Particulars | Description |
| Scope | Both B2B and B2C |
| Liability to remit VAT | Non-resident supplier |
| VAT rate | 18% |
| Taxable value | Price payable by the recipient of the supply |
| Effective date | VAT on ESS was introduced in January 2022. In addition to the explanatory note issued by the Minister, the law took effect from April 2024 to allow affected persons time to integrate it into their systems. |
| VAT registration threshold | Contrary to the monetary thresholds for the mandatory registration of VAT in Côte d'Ivoire, non-residents providing ESS must charge and remit VAT on services when services have been provided irrespective of turnover. |
| Tax invoice | Yes. |
Services in scope
Online advertising services, online data services, online markets, digital content services, online gaming services, cloud computing services, social network platform, and search engine.
Registration and compliance
Non-residents suppliers must register for the simplified remote registration and VAT declaration procedure. However, this registration, does not create a permanent establishment for the person in Côte d'Ivoire.
The simplified VAT return is filed and paid quarterly via the e-Impôts portal of tax administration, no later than by the 20th of the month following the end of each quarter, i.e. by 20 April, 20 July, 20 October and 20 January of each year.
Invoicing
For invoicing B2C, companies will continue to issue receipts to customers in accordance with their existing procedures.
For B2B invoicing, while companies will continue to use their current methods. However, it is imperative for non-resident companies to include the following details to allow VAT to be deducted for B2B customers (the customer’s name, taxpayer identification number, the nature of the service, the date of the service and the amount charged).
VAT on costs
Non-resident suppliers providing ESS in Côte d'Ivoire cannot claim deductions for any input VAT incurred in the course of their business.
Other considerations
A withholding tax of 20% applies to payments for ESS provided or used in Côte d'Ivoire paid to foreign electronic service suppliers located in a country with no Double Taxation Agreement (“DTA”) with Côte d'Ivoire.
Côte d’Ivoire has also introduced the Significant Economic Presence Tax (SEP Tax), effective from 2026, which applies to digital platforms once they generate at least CFA 50 million in remote turnover from Ivorian consumers.
The tax is assessed at a rate of 30% on a deemed profit equal to 10% of the turnover derived from services provided to customers in Côte d’Ivoire. To avoid double taxation, any tax already withheld at source on these services may be credited against the SEP tax payable on the platform’s profits.
VAT on cryptocurrency/digital assets
Côte d'Ivoire does not have specific VAT rules on cryptocurrency as cryptocurrency related activities are not legally recognised in Côte d'Ivoire.
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