What are Algeria's DGI tax bands?
0% on first DZD 240,000; 20% on 240,001–480,000; 30% on 480,001–960,000; 35% above DZD 960,000. Applied annually to taxable income after CNAS deduction.
What is the CNAS rate in Algeria?
Employees contribute 9% to CNAS (social security), while employers contribute 26%. The employee portion is tax-deductible from DGI taxable income.
How is PAYE calculated in Algeria?
Algeria uses an annual computation. First, the employee's 9% CNAS contribution is deducted from gross salary. The resulting taxable income is then run through the four progressive DGI bands (0%–35%) to determine income tax. Take-home pay equals gross minus CNAS minus DGI tax.
What is the tax-free threshold in Algeria?
The first DZD 240,000 of annual taxable income (after CNAS deduction) is taxed at 0%. This means employees earning below approximately DZD 263,736 gross per year (DZD 240,000 / 0.91) pay no income tax — only CNAS.
What does CNAS cover in Algeria?
The Caisse Nationale des Assurances Sociales (CNAS) covers health insurance, maternity leave, work-related accidents, disability benefits, and retirement pensions. The combined rate is 35% of gross salary — 9% from the employee and 26% from the employer.
What is the total employer cost in Algeria?
Employers pay the gross salary plus a 26% CNAS contribution. For example, on a DZD 3,600,000 annual salary, the employer CNAS is DZD 936,000, making the total employer cost DZD 4,536,000 per year. Employers are also responsible for withholding and remitting employee CNAS and DGI tax.
Are there additional deductions beyond CNAS and DGI?
For most employees, CNAS (9%) and DGI income tax are the only mandatory deductions. There is no separate municipal tax on salaries. However, some employees may have voluntary deductions such as complementary pension or mutual health insurance contributions.
Is the AfroTools Algeria PAYE calculator free?
Yes — the AfroTools Algeria PAYE calculator is completely free with no account required. It includes real-time DGI tax computation, CNAS deductions, employer cost breakdown, interactive charts, AI tax analysis, and downloadable PDF summaries.
