- Tax system Worldwide Territorial
- Income tax brackets updated
ER
Eritrea
Eastern Africa
ERN
ER · ERI · #99 · 3 cities
Nomad score
34/100
Compare
Top income tax
30.0%
Territorial system
Corporate tax
30.0%
VAT/GST
None
standard rate
Tax residency
183 days
Eritrea tax profile
Data year: 2026
- Tax system
- Territorial Direct taxes are administered by the Inland Revenue Department under the Ministry of Finance. The principal income-tax statute is Income Tax Proclamation No. 24/2011 (replacing Proclamation No. 62/1994). Tax is generally levied on Eritrean-source income; separate schedules apply to employment, rent, business profits and incorporated bodies. There is no VAT; goods and services are subject to sales/excise taxes instead. Eritrean nationals living abroad may be subject to a separate 2% rehabilitation and recovery levy on worldwide income under diaspora-tax legislation (not part of the standard PIT brackets).
- Top PIT rate
- 30.0%
- Corporate tax rate
- 30.0%
- VAT/GST
- No VAT/GST
- Capital gains tax
- Rate not recorded
- Social security (employee)
- Rate not recorded
- Social security (employer)
- Rate not recorded
- Dividend withholding
- 5.0%
- Interest withholding
- 10.0%
- Royalty withholding
- 10.0%
- Treaty count
- Treaty count not recorded
Income tax brackets
Corporate
| Bracket min | Bracket max | Rate |
|---|---|---|
| ERN 0 | and above | 30.0% |
Personal income
| Bracket min | Bracket max | Rate |
|---|---|---|
| ERN 0 | ERN 9,600 | 0.0% |
| ERN 9,601 | ERN 12,000 | 5.0% |
| ERN 12,001 | ERN 18,000 | 10.0% |
| ERN 18,001 | ERN 24,000 | 15.0% |
| ERN 24,001 | ERN 36,000 | 20.0% |
| ERN 36,001 | and above | 30.0% |
Tax residency
- Days threshold
- 183 days
- Residency rules
- Tax residence is generally based on physical presence or habitual abode in Eritrea during the tax year. Country guides commonly cite a 183-day calendar-year threshold for individuals; confirm the precise test in Proclamation No. 24/2011.
- Exit tax
- No
- CFC rules
- No
Filing information
- Fiscal year
- 01-01 – 12-31
Sources
- Tax Foundation — 2025 corporate tax rates by country (accessed Oct 9, 2026) Eritrea headline CIT 30% for 2025
- Eritrea Ministry of Information — Stamp Duty Proclamation No. 180/2017 (accessed Oct 9, 2026) Inland Revenue Department under the Ministry of Finance
- MOFCOM — Income Tax Proclamation No. 62/1994 (English text) (accessed Oct 9, 2026) Superseded statute; confirms source-based income definition and IRD administration
- PwC Worldwide Tax Summaries — quick charts (accessed Oct 9, 2026) Eritrea territory marked inactive; no country detail pages