Episode Details

Madagascar does not use a progressive income tax system like many Western countries. Instead, it relies on withholding and presumptive taxes.

Employees are taxed through IRSA (withholding on salaries), while self-employed individuals and small businesses often fall under a presumptive regime. Investment income is subject to flat withholding rates—10% on dividends and 15% on interest.

Capital gains on real estate and other assets are taxable, and rental income must be declared separately. All rules are defined in Madagascar’s General Tax Code (CGI).