New ethiopian income tax rate table. Whether you’re an employee or HR professional, use this calculator to understand the Ethiopia payroll calculation formula for both new and previous tax rates. 14, Royalty Income Tax rate increase: (Old Article 54, New Article 56) For residents of Ethiopia, the withholding tax rate on royalty payments has increased to 15% on the gross amount of the royalty and 10% in the case of royalties related to art and culture. Ethiopia tax table changes: New salary tax rates, cash payment limits, and tax return rules take effect in Ethiopia from July 2025. The amendment broadens the scope of taxable digital services, raises thresholds for employment, rental and business income, and introduces new taxpayer requirements, affecting both residents and nonresidents. Aug 5, 2025 · Employee payroll calculation in Ethiopia using 2025 / 2017 tax rates. The Tax tables below include the tax rates, thresholds and allowances included in the Ethiopia Tax Calculator 2024. Based on the new and old Ethiopian income tax rate tables, this tool helps you calculate income tax, pension, cost sharing, and net pay. Learn how these updates impact payroll and compliance. Jul 1, 2025 · Ethiopia Income Tax Proclamation Number 1395/2017, which amends the rates of income for individuals, has been approved by the Ethiopian parliament. The turnover tax regime is removed altogether. The Tax tables below include the tax rates, thresholds and allowances included in the Ethiopia Tax Calculator 2025. Examples of calculating salary income tax, cost sharing, pension and other deductions to find the employee's net pay. To improve compliance with the business income tax, the new reform introduces a Minimum Alternative Tax (MAT) at the rate of 2. Dec 17, 2025 · The Income Tax Proclamation (Amendment) No. Instant accurate results for personal income tax. References DITS includes current rates for corporate income tax; domestic withholding tax; value added tax/goods and services tax/sales tax; and a five-year table of statutory corporate income tax rates. Sep 15, 2025 · Ethiopia has introduced new income tax rules in 2025 with updated salary tax brackets, a higher tax-free threshold, and a new Minimum Alternative Tax. Complete guide with tax rate table, examples, and planning strategies. . The Income tax rates and personal allowances in Ethiopia are updated annually with new tax tables published for Resident and Non-resident taxpayers. For around 100 jurisdictions, rates of withholding tax on dividends, interest, and royalties under tax treaties also are available. Browse different tax rate table (tax brackets) and the calculation formula based on gross salary. 5% of turnover. Ethiopia Salary Calculator 2026 – Net Salary, Gross Salary, Income Tax & Pension Whether you're a jobseeker or employer, estimate your monthly net and gross income, taxes, and pension for 2026 with GeezJobs' salary calculator. Know your value today! Ethiopia Income Tax Proclamation Number 1395/2017, which amends the rates of income for individuals, has been approved by the Ethiopian parliament. Overall, the amendment aims to streamline the tax system and support the ongoing macroeconomic reform process. 1395/2025 was enacted on 17 July 2025, immediately altering the taxation landscape in Ethiopia. Learn how these payroll changes affect employees and businesses in Ethiopia. The new monthly tax table below is effective from 1 July 2025. Free Ethiopian income tax calculator 2025 - Calculate your demoz, salary tax, and pension deductions. zevypy, osdlc, wmae, qxmm, 3f8n, c7u7r, 8nlp, l7sdp, tkgr0, ixtux,