The Taxation System in the Republic of Mozambique integrates national and municipal taxes. The taxes of the National Taxation System are classified as directand indirect, acting at various levels, namely direct taxation on income and wealth and indirect taxation on expenditure (VAT, ICE and customs duties).

 The direct taxation on incomes is made through the following system of taxes: Corporate Income Tax (IRPC) and Personal Income Tax (IRPS).

The indirect taxation, which comprises taxes on expenditure, integrates: Value Added Tax (VAT), Specific Consumption Tax (ICE) and Customs Duties.

The Corporate Income Tax (IRPC) – is taxable on gained incomes, during the taxation period, from tax payers, namely commercial or civil companies,cooperatives, public companies and other corporates both public and private, entities unprovided with legal personality, whose incomes are not subject to taxation in the form of IRPS or IRPC.

• The rate for IRPC is 32%.
• The agricultural and livestock activity will benefit until 31/12/2010, from a reduced rate of 10%.

The Personal Income Tax (IRPS) – is taxable on the global annual value of income; is paid by singular persons residing in the Mozambican territory and by those not residing in the country but gaining income from it.