Benin Business Tax Calculator

Benin Business Tax Calculator

Most small businesses in Benin are taxed in one of three ways, and picking the wrong one can cost you hundreds of thousands of CFA francs a year. This free Benin business tax calculator compares the simplified TPS regime with the real regime for sole proprietors, shows corporate tax for companies, and adds the payroll costs of hiring staff.

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Benin Business Tax Calculator

Estimate the annual tax on a small business in Benin: TPS, real regime, company tax and payroll costs, in CFA francs.

1. Your business

A SARL or SAS pays corporate tax whatever its size.
Changes the minimum tax rate and, for companies, the tax rate.
Total sales before costs, for the whole year.
Used for the real regime and company tax. TPS ignores profit.

2. Staff (optional)

In the currency chosen above. The legal minimum wage (SMIG) is XOF 52,000.
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Annual business tax
Effective rate on sales
Set aside each month
RegimeXOF a yearYour currency
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Method and sources
  • TPS (taxe professionnelle synthetique): for sole proprietors with sales up to XOF 50 million. 5% of sales, with a minimum of XOF 10,000, plus a XOF 4,000 levy. It replaces the real regime income tax, the business licence and the employer payroll levy.
  • Real regime for sole proprietors (IBA): 30% of profit. Minimum tax is 1.5% of sales (3% for construction, 10% for real estate dealing), never below XOF 500,000. Benin General Tax Code 2024, articles 63 and 64.
  • Company tax (IS): 30% of profit, or 25% for industrial activities. Minimum tax is 1% of sales (3% construction, 10% real estate), never below XOF 250,000, plus a XOF 4,000 broadcasting levy. General Tax Code 2024, articles 46 and 47. The 2026 Finance Law reports a lower minimum tax floor of XOF 250,000.
  • VAT is 18% and is compulsory above XOF 50 million of sales. It is not part of this estimate.
  • Payroll: employer social security 9% family benefits plus 6.4% pensions plus 1% to 4% work accidents, an employer payroll levy of 4% (not due under TPS), and employee social security of 3.6%. Salary tax (ITS) brackets of 0%, 10%, 15%, 19% and 30% on monthly pay (General Tax Code, article 125). Social security ceilings and salary tax allowances are ignored here.
  • Exchange rates: open.er-api.com, with fixed fallback values if it is unreachable. The euro is pegged at 655.957.
Planning estimate only. Tax rules in Benin change often, including in the 2026 Finance Law. New businesses, approved management centres and special regimes can reduce what you pay, and these are not modelled. Confirm your regime and dates with the tax authority (impots.bj) or a local accountant before you file. Nothing you enter is stored or sent anywhere. Only the exchange rate is fetched from an outside service. MetricSuite.tools is not a legal, tax or financial adviser.

How the Benin business tax calculator works

Choose whether you are a sole proprietor or a company, pick your main activity, and enter your expected yearly sales and profit margin. Add staff if you plan to hire. The tool returns your annual business tax, your effective rate, the amount to set aside each month, and your profit after tax.

→ Use the free Benin Business Tax Calculator at MetricSuite.tools to calculate this instantly, no signup required.

TPS or real regime: which is cheaper?

Sole proprietors with sales up to XOF 50 million fall under TPS by default. TPS is 5% of sales, with a minimum of XOF 10,000 and a XOF 4,000 levy, and it does not look at your profit. The real regime (IBA) taxes 30% of profit but never less than a minimum tax of 1.5% of sales and at least XOF 500,000. If your margins are thin, the real regime can win. If your margins are high, TPS usually wins. The calculator shows both side by side.

Companies pay corporate tax from day one

A SARL, SUARL or SAS pays corporate tax (IS) because of its legal form, however small it is. The rate is 30% of profit, or 25% for industrial activities. A minimum tax applies even when you make a loss: 1% of sales, 3% for construction and 10% for real estate dealing, never below XOF 250,000. This is why many micro businesses start as a sole proprietor and only incorporate when they need to.

Payroll costs when you hire

Employers pay social security of 9% for family benefits, 6.4% for pensions and 1% to 4% for work accidents, plus a 4% payroll levy that TPS businesses do not pay. Employees have 3.6% social security and a progressive salary tax withheld. The calculator estimates these on top of salaries.

What changed in 2026

The 2026 Finance Law reportedly lowered the minimum tax floor from XOF 500,000 to XOF 250,000 and extended tax amnesty relief for businesses that file declarations for earlier years. The calculator uses the General Tax Code 2024 floors (XOF 500,000 for sole proprietors on the real regime, XOF 250,000 for companies). If you are affected by the 2026 change, your tax may be lower than shown.

Related Benin guides

Frequently Asked Questions

What is TPS in Benin?

TPS (taxe professionnelle synthetique) is a simplified tax for sole proprietors with sales up to XOF 50 million. It is 5% of sales, with a minimum of XOF 10,000 plus a XOF 4,000 levy.

Can a SARL use TPS?

No. A SARL or SAS is taxed under corporate tax because of its legal form, whatever its turnover.

What is the VAT rate in Benin and when must I register?

The standard rate is 18%. VAT is compulsory above XOF 50 million of sales and optional below it. TPS businesses generally do not charge VAT.

What is the corporate tax rate in Benin?

30% of profit, or 25% for industrial activities, with a minimum tax of 1% of sales and a floor of XOF 250,000.

Is there a minimum tax in Benin?

Yes. Companies pay at least 1% of sales (3% construction, 10% real estate dealing), never less than XOF 250,000. Sole proprietors on the real regime pay at least 1.5% of sales and never less than XOF 500,000.

Are new businesses exempt?

Some reductions and exemptions exist for new businesses, but sources differ and the calculator does not model them. Confirm with the tax authority.

Sources