Senegal VAT


Frequently asked questions about Senegal VAT

What is VAT?

VAT is the abbreviation of Value Added Tax and is in general due when goods and/or services are sold. It is generally chargeable on all taxable goods and services supplied (i.e., consumed or otherwise utilized) in Senegal. It is a consumption tax because it is ultimately borne by the final consumer.

Who must pay VAT?

Generally, VAT is invoiced by the supplier that is selling goods or services and collected from the customer. Subsequently, the supplier reports and remits the collected VAT to the tax authorities.

Why am I being charged VAT?

Senegal has adopted in article 335 bis of its General Tax Code, new tax rules to ensure the effective imposition of VAT on the supply of services to a person established in Senegal from abroad, by means of a computerized system. Digital services (defined as supplies of goods and/or intangible services of any kind, carried out automatically via a computer and/or electronic network) are therefore subject to VAT in Senegal.

Video conferencing services and telecommunication (in the form of electronic communication services) supplied by Zoom fall within the rules concerning digital services by non-resident service providers to businesses (B2B) and consumers (B2C) in Senegal.

What is a Tax ID?

A Tax identification number (Tax ID) is a unique identifier issued by the Directorate General of Taxes and Domains (DGID) and is used to identify taxpayers in Senegal.

The Tax ID is made up of two elements:

Where you have provided your Tax ID to Zoom, this will show on invoices issued to you by Zoom.

How do I enter my Tax ID?

To enter your Tax ID, follow the steps below depending on where your billing portal is located in the left navigation menu of the Zoom web portal. Not sure how to identify where your billing portal is located? Learn how to locate your billing settings.

  1. Sign in to the Zoom web portal.
  2. In the navigation menu, click Plans and Billing then Billing Management.
  3. In the Contact Information section, click Edit.
  4. Enter your Tax ID.
  5. Click Save.
  1. Sign in to the Zoom web portal.
  2. In the navigation menu, click Account Management then Billing.
  3. Click the Billing Information tab.
  4. To the right of Sold To Contact, click Edit.
  5. Enter your Tax ID.
  6. Click Save Changes.

Does Zoom have a Tax ID?

Yes. Zoom is registered for VAT in Senegal as a non-resident supplier of digital services. Zoom’s Tax ID will be shown on the invoice it issues to you.

How is Zoom determining which customers Senegalese VAT applies to?

Zoom will apply VAT if the location of the “Sold To” contact address entered by the customer is in Senegal. This information is subject to cross-referencing against other data to verify that the ‘Sold to’ country is accurate. It is your responsibility as a customer to ensure that your ‘Sold to’ address is accurate.

Is there a minimum threshold purchase amount before VAT is applied?

No, all supplies of digital services to customers in Senegal are subject to Senegalese VAT.

Does Zoom provide VAT-exempt or non-VATable services?

No, all services currently provided by Zoom to customers in Senegal are subject to Senegalese VAT.

Are there any special exemptions applicable for charities or other organizations under which VAT may not be charged?

Limited exemptions may apply to specified organizations and/or charities.

If this applies to you, you are required to obtain a VAT exemption certificate from the department in charge of large companies at the Directorate General of Taxes and Domains (DGID) and provide this to Zoom by chatting with Billing. On receipt of a valid VAT exemption certificate, Zoom will treat your account as “tax exempt” such that VAT is not charged on future invoices issued to you.

Will VAT apply even if a Senegalese company provides a valid Tax ID to Zoom?

Yes, VAT applies to all the supplies that Zoom makes to customers in Senegal with limited exemptions for VAT-exempt organizations who have provided a valid VAT exemption certificate issued by the department in charge of large companies at the Directorate General of Taxes and Domains (DGID).

Are there any VAT obligations for me as a customer?

No, the customer in principle has no VAT obligations. If you are registered for VAT in Senegal and you want to claim the VAT charged to you by Zoom, as a minimum, you should ensure to keep a copy of Zoom’s invoice for your records.

Disclaimer

Every customer is unique and so are their specific tax circumstances. The above-stated information should not be considered as tax advice, but as a general overview of relevant tax rules in Senegal. Zoom cannot provide you with tax advice for your individual situation, and therefore we strongly recommend speaking with a professional tax advisor for tailored advice.