• Investment Research
• Property Search

Tunisia: Living There - Tax Issues

Country Rating  »

Home ›  Middle East ›  Tunisia ›  Living There

Living There

INDIVIDUAL TAXATION

Tunisian residents are taxed are taxed on their worldwide income. Married couples are taxed jointly.

INCOME TAX

Income is taxed at progressive rates.

Resident individuals are entitled to the following allowances:

• TND150 (US$110) for the family head
• Dependent allowance
• TND90 (US$66) for the first child
• TND75 (US$55) for the second child
• TND60 (US$44) for the third child
• TND45 (US$33) for the fourth child
• TND300 (US$220) for each child under 25 who is pursuing further education, and is without a scholarship
• TND750 (US$550) for handicapped children, whatever his age or place in the family
• 5% of total net revenue for each dependent parent, with a maximum deduction of TND150 (US$118) per parent, on the condition that the parents’ revenues do not exceed the minimum professional wage 

The following additional deductions are also available to residents:

• Premiums on life insurance contracts;
• up to TND1,200 (US$881) for the taxpayer,
• TND600 (US$441) for the spouse,
• TND300 (US$220) for each dependent children (maximum of four dependent children)
• Repayment for student loans
• Amounts deposited in investment savings plans in Tunisian banks, maximum of TND20,000 (US$14,686)
• Amounts subscribed to venture capital investment companies

RENTAL INCOME
Rental income is included in the aggregate income and is taxed at progressive rates. A standard deduction of 30% of gross rent is given to account for income-generating expenses.

Itemized deduction of actually incurred expenses may be used over the standard deduction if justified by proper documents.

CAPITAL GAINS
Capital gains are taxed at progressive rates. The taxable capital gains are calculated by deducting the following from the real or assessed transfer price: acquisition costs and incidental expenses, 10% of the acquisition cost for each year the property was held by the owner; and improvement costs.

PROPERTY TAX

Real Estate Tax

Real estate tax is payable annually by the property owners in Tunisia. The tax is levied at 2% on the evaluated square meter value of the property, which is determined by the law every three years.

The real estate tax will be levied on the rental income value of the property if it is less than the evaluated square meter value of the property.

The law provides for four categories of buildings, classified according to area (less than 100 sq. m, between 100 sq. m and 200 sq. m, between 200 sq. m and 400 sq. m and more than 400 sq. m).

Tunisia - more data and information

• Lawyers (attorneys) with property law practices in Tunisia

Your Comments

Post a comment