São Tomé and Príncipe Tax Update

Considering the negotiations between the Government of São Tomé e Príncipe and the International Monetary Fund for a new technical assistance program which aims to reduce the deficit, the Government of São Tomé e Príncipe approved a legislative authorization relating to tax matters (as per the Law No. 10/2019, of 3 September 2019). The expected tax adjustments are as follows: – Revision of Consumption Tax rates applicable to telecommunication and hotel services; – Functioning of Consumption Tax on catering; – Suspension of Article 74.º of the Personal Income Tax Code (tax deductions related to the personal or family situation); and – New Stamp Duty. This legislative authorization lasts for 90 days as of 3 September 2019, the date of its publication.