Indirect tax - Algeria

VAT is the principal indirect tax.
VAT rates are:

• 9% (reduced rate) It applies to some products, goods, works and services mentioned in Article 23 of the Turnover Tax Code.
• 19% (normal rate) for transactions, services and goods that are not expressly subject to the reduced rate or exempted. 
• 0% (Exemption) goods and services destined for some activities including petroleum activities and some cultural and social activities (Articles 08, 09, 10, 11, 12, 13 of the Turnover Tax Code).

No.

N/A.

No, but in accordance to article 83 of the Turnover Tax Code, when a sale or service is made by a taxable person established outside Algeria, the tax is self-assessed and paid by the purchaser or the beneficiary of the provision of services.

Yes. In accordance with Article 63 of the Turnover Tax Code, any person who does not have an establishment in Algeria and carries out transactions subject to VAT must appoint a fiscal representative domiciled in Algeria who undertakes to complete the formalities to which the taxable persons are subject and to pay this tax in the place of the said person. The representative of the client who does not have an establishment in Algeria fills the tax return and pays the tax and related penalties on his behalf.

Any person carrying out transactions subject to VAT is required to deliver or send within twentieth (20) days following the calendar month to the tax collector, where jurisdiction of residence or principal establishment is located, a statement indicating the amount of the turnover realized for all of its taxable transactions.

However, the taxpayers not having a centralized accounting management are authorized to deposit a statement of turnover, for each of their units, to the tax collector, according to the deadlines and forms quoted above.

When the filing deadline expires on a statutory holiday, the deadline is extended to the next business day.

If during a month, there has been no transaction giving rise to turnover taxes, the taxpayer must submit to the tax office a statement ‘Nil’.

The payment of all the tax due for a taxable person according to the statement submitted, is made at the time of the delivery or sending of the statement.

Taxpayers registered under the Large Companies Tax Direction ‘DGE’ are required to make their declarations via the website relating to e-declaration and e-payment of taxes (JIBAYATIC).

Yes. In the case of payments exceeding the required deadlines, penalties for late payment detailed in Article 402 of the Direct Taxes and Related Tax Code apply, taken from the date on which they should have been paid.

No.

Yes. When it appears that the annual turnover declared by a taxpayer is insufficient or in the case of deductions wrongly made, the amount of tax evaded is increased by:

• 10% when amount of tax evaded per year is less than or equal to 50,000 DA
• 15% when amount of tax evaded, per year, is greater than 50,000 DA and less than or equal to 200,000 DA
• 25% when amount of tax evaded per year is greater than 200,000 DA.

In the case of fraudulent maneuvers, a fine of 100% is applicable. (Article 116 of the Turnover Tax Code).

No.

A VAT invoice must show:

Mentions relating to the seller:

• name of the person or corporate name
• address, telephone and the e-mail address
• legal form and nature of the activity
• share capital
• trade register number
• Statistical Identification Number
• method of payment and date of payment of the invoice
• date of establishment and serial number of the invoice
• denomination and quantity of goods sold or services provided
• unit price excluding taxes of goods sold or services provided
• total price excluding taxes of the goods sold or services provided
• nature and rate of taxes/rights/contributions due, depending on the nature of the goods sold/services provided
• total price including all taxes, in numbers and letters.

Mentions relating to the buyer:

• name or corporate name
• legal form and nature of the activity
• address, telephone, fax numbers and the e-mail address
• trade register number
• Statistical Identification Number.

If the buyer is a non-tax registered person (final consumer), the invoice must mention his name and address.

The invoice shall be stamped and signed by the seller, except when it is established by telematics.

When the transport costs are not invoiced separately or do not constitute an element of the unit price, they must be listed expressly in the margin of the invoice.

The price supplements, and in particular the interest due on forward sales and the expenses constituting an operating expense for the seller, such as the remuneration of intermediaries, commissions, brokerage and bonuses, are expressly listed on the invoice when paid by the seller and invoiced to the buyer.

No, there is not a current or anticipated Standard Audit File for Tax (SAF-T).