Value Added Tax (VAT) is levied on all sales of goods and services through three rates:
- The standard rate of 21 per cent, which applies to most taxable supplies.
- Reduced rate of 15 per cent applies to a number of selected goods and services.
- A third rate of 10 per cent applies to drugs, books and baby food.
Corporate Income Tax Rate
The corporate income tax rate is 19 per cent. A special reduced rate of five per cent applies to profits of qualifying investment, mutual and pension funds. Exemptions from corporate tax may be claimed for certain qualifying investments.