Overview
The Administração Geral Tributária (AGT) is Angola’s unified tax authority, responsible for the assessment, collection, and enforcement of all national taxes. Established through Presidential Decree No. 324/14 in 2014, AGT consolidated the previously separate customs and tax administration bodies into a single agency, bringing Angola in line with international best practices for revenue administration.
Role in Angola’s Economy
AGT is the primary institution responsible for domestic revenue mobilization — a function of critical importance given the government’s strategic objective to reduce fiscal dependence on oil revenues. Oil currently accounts for 50-60% of fiscal revenue, and broadening the non-oil tax base is central to the National Development Plan (PDN 2023-2027) and the broader economic diversification agenda.
The agency administers Angola’s principal tax instruments:
| Tax | Description |
|---|---|
| Industrial Tax (Imposto Industrial) | Corporate income tax at 25% standard rate |
| Personal Income Tax (IRT) | Progressive rates on employment and investment income |
| Value Added Tax (IVA) | Introduced October 2019 at 14% standard rate |
| Stamp Duty (Imposto do Selo) | Transaction-based levies on contracts and financial instruments |
| Property Transfer Tax (SISA) | Tax on real estate transfers |
| Customs Duties | Import tariffs administered through AGT’s customs division |
The introduction of VAT in October 2019 represented a watershed moment for Angola’s tax system, replacing the outdated consumption tax and significantly broadening the revenue base. AGT manages VAT registration, compliance, and refund processing for all qualifying enterprises.
Capital Markets Relevance
For investors in Angola’s capital markets, AGT’s policies directly affect after-tax returns on securities traded on BODIVA. Key considerations include:
- Withholding tax on bond coupons and dividends: Investment income from Bilhetes do Tesouro and Obrigações do Tesouro is subject to the Imposto sobre a Aplicação de Capitais (IAC), currently at 15% for residents and 15% for non-residents, though certain exemptions apply to sovereign debt holdings.
- Capital gains taxation: Gains from the sale of securities on the regulated market are subject to IAC.
- Transfer pricing and thin capitalization: AGT enforces transfer pricing rules relevant to multinational corporations operating in Angola, particularly in the oil and gas sector.
AGT has been modernizing its operations through digitization of tax filing (the Portal do Contribuinte), integration of taxpayer databases, and alignment with OECD Base Erosion and Profit Shifting (BEPS) recommendations. These reforms aim to improve compliance rates and expand the approximately 14.63% credit-to-GDP ratio by creating a more transparent and predictable fiscal environment.
Investor Considerations
The efficiency and predictability of AGT’s administration directly influences Angola’s investment climate. The IMF has consistently recommended strengthening tax administration as a condition for fiscal sustainability, particularly as Angola manages its debt-to-GDP ratio of 59.9%. Investors should monitor AGT’s evolving guidance on withholding taxes, double taxation treaties, and sector-specific incentives administered through AIPEX and the Private Investment Law (PIP).