Madagascar
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Madagascar's tax system is administered by the Direction Generale des Impots (DGI) and applies a progressive personal income tax known as the Impot sur les Revenus Salariaux et Assimiles (IRSA) with rates from 0% to 20%, denominated in the Malagasy Ariary (MGA). The relatively low maximum rate of 20% makes Madagascar one of the more competitive personal income tax jurisdictions in Sub-Saharan Africa. The progressive bands provide a tax-free threshold for low-income workers, with rates increasing gradually to the top rate. Employees in Madagascar contribute to the Caisse Nationale de Prevoyance Sociale (CNaPS) for social security, with the employee share at approximately 1% of gross salary and employers contributing around 13%, covering pensions, family allowances, and occupational risk insurance. The comparatively low employee burden and high employer share is a distinctive feature of Madagascar's social security system. Madagascar applies a standard VAT rate of 20% on most goods and services, with exemptions for essential foodstuffs, medical supplies, and educational materials. The fiscal year follows the calendar year, and employers must withhold IRSA and remit it to the DGI monthly within prescribed deadlines. Madagascar's economy is driven by agriculture, mining (sapphires, vanilla, nickel), textiles, and tourism, with the vanilla industry making the country the world's largest producer. AfroTools provides free DGI-compliant IRSA income tax calculators, CNaPS contribution tools, VAT calculators, and salary breakdown tools for Madagascar. All tools are updated for the current tax year and available at no cost.