Strategic Tax Incentives for Digital Startups in Cameroon

I would like to draw your attention to a unique opportunity for digital startups in Cameroon, characterised by a robust tax incentive program designed to foster innovation and entrepreneurship.

Cameroon offers an exceptional benefit: qualifying innovative startups may enjoy a complete tax exemption for a duration of five years. This initiative represents a significant opportunity for growth and development within the tech sector.

The tax incentive program is structured into two distinct phases:

Phase 1: Incubation (Years 0-5)

Complete exemption from corporate taxes
Obligation to remit only social security contributions
Special provisions for capital gains tax
These provisions provide startups with substantial financial leverage, fostering an environment conducive to strategic growth and investment.

Phase 2: Operation (Years 5-10)

A reduced corporate tax rate of 15%, a significant decrease from the standard rate of 33%
Exemption from business licensing fees
Tax incentives for employees
Research and development allowances
It is essential to understand that these benefits are not granted automatically. Startups must meet specific innovation criteria and secure the necessary approvals to access these incentives. The application process requires meticulous preparation and thorough documentation.

At Fonyam & Partners Law Firm, we are dedicated to assisting digital entrepreneurs in navigating the complexities of these tax incentives. Our expertise enables us to help you maximise your growth potential within Cameroon’s burgeoning tech ecosystem.

Should you wish to discuss this further, please do not hesitate to reach out.