Cape Verde vs Seychelles
Tax Rate Comparison
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๐ฐ Personal Income Tax Calculator
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๐จ๐ป Cape Verde โ Cape 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.
๐ธ๐จ Seychelles โ Seychelles Tax System
Seychelles has a progressive income tax up to 15% โ very low by global standards. No capital gains tax. The country is an established offshore financial centre (International Business Companies, trusts). Tourism dominates the formal economy. Business Tax (corporate tax) is 25% on the first SCR 1M, 33% above. The Seychelles Revenue Commission administers tax. EU blacklisted briefly in 2019 for harmful tax practices.
Cape Verde vs Seychelles: Key Tax Differences (2026)
๐ฐ Income Tax: ๐จ๐ป Cape Verde has a higher top income tax rate (0โ27.5% vs 0โ15%). ๐ธ๐จ Seychelles is more favourable for high earners.
๐ VAT/Sales Tax: Both countries have comparable consumption tax rates (15% vs 15%).
๐ข Corporate Tax: ๐จ๐ป Cape Verde offers a lower corporate rate (25% vs 33%), which can influence business location decisions.
๐ Capital Gains: ๐ธ๐จ Seychelles taxes investment gains at a lower rate (0% vs 25%), benefiting investors.