Foreigners, regardless of their residence status, are free to invest in projects within the framework of the new investment Law 71-2016 of September 30/09/2016.
All foreign investors are free to invest in most sectors and can own up to 100% of project capital without the need for prior authorization.
Foreign investors can repatriate profits and proceeds from the sale of foreign currency invested capital.
The Tunisian Dinar has been convertible for current transactions since 1994. Any foreign company with its head office in Tunisia is able to transfer all capital income, both for commercial transactions and those linked to production.
Any company can recruit executives of foreign nationality in limit of 30% of the total of its executives during 3 years, in all cases a number 4 foreign executives is authorized.
Foreigners can invest in the agricultural sector through the operation of leased farmland. The level of foreign participation in such businesses, as well as in aquaculture and fishing businesses located in Tunisia’s northern waters may not exceed 66%.
The exploitation by foreign farmland may, however, be a long-term lease.
Foreigners can create in Tunisia international trade companies, they can carry out import and export of goods transactions, and in any kind of international trading operations and brokerage (minimum capital must be 150 000 dinars). The profits from export are subject to income tax at the rate of 13,5% from 2021.
The exercise of local trade (Shops, restaurants, commercial representative, commercial agent ,etc..) requires that foreign ownership does not exceed 50% of the share capital, in addition to certain formalities and authorization by the Tunisian Central Bank.
Fiscal and financial advantages:
The newly created companies in sectors of services or industry are exempt from income tax or corporate tax for a period of 4 years from the date of entry into activity.
The totally exporting companies (at least 70 percentages of sales as exportation)
- The profits from export are subject to income tax at the rate of 10% to exercice 2020.
- TCL tax at 0, 1% of gross turnover.
- The VAT is suspended on export sales.
- The possibility of importing raw materials and equipment in suspension of VAT.
- The possibility of benefiting from the VAT suspension on the procurement of goods and services on the local market.
- Tax rate of 20% as tax deduction on gross salaries of foreign and possibility of bringing a personal car and personal belongings suspended taxes.
Companies located in regional development zones
Tunisia provides many benefits to those who invest in some remote areas of the coast.
Zone of the first group
- Total exemption from income tax for the first 5 years and taxation at 10% in subsequent years.
- Premium of 15% of the investment (including working capital) up to a limit of 1 500 000 DT.
- Exemption from employers’ social charge for five years (16.57% of gross salaries).
Zone of the second group
- Total exemption from income tax for the first 10 years and taxation at 10% in subsequent years.
- Premium of 30% of the investment (including working capital) up to the limit of 3000 000 DT.
- 100% exemption from Employers’ social contributions for five years (16.57% of gross salaries)
Companies in the priority sectors
- Investment premium of 15% with a ceiling of 1000 000 TND;
- Exemption 100% of the social employers’ charge for 3 years.
- The tunisian Goverment assumes 50% of the salaries paid to graduates recruited for the first time permanently up to a limit of 250 DT per month per employee.
The priority sectors are:
• Primary processing of agricultural and fishery products
• Nanotechnology industries
• Biotechnology industries
• Textiles and Clothing
• Electronic industries
• Technical plastic and composite products
• Automotive, aeronautical, marine and rail industries, and components
• Pharmaceutical and medical devices
• Research and development and clinical research centers
• Industrial equipment industry
• Military industries
• Cultural and creative industries
• Collection, recovery, processing and treatment of solid and liquid wastes
• Projects for the protection and enhancement of natural resources, biodiversity and combating desertification
• Production of renewable energies
• Communication and information technologies (ICT)
• Logistics services in logistics areas
• Sports and leisure centers
Business in transformation economic sectors
A premium for increased value added and competitiveness: 15% of the investment cost approved with a ceiling of 1 000 000 dinars.
Activities that rely mainly on the valorization of resources of useful and agricultural substances, natural and cultural heritage through industrialization and exploitation in production areas and contribute to the development of value chains by radically changing the nature of the product.
List of transformation economic sectors
- Extractive materials
- Geothermal Culture Sector
- Medicinal and aromatic plants