GROW YOUR BUSINESS IN CAMEROON
Have an enterprise level payroll department and a HRMS with Employee Self-Service at a per employee cost
Praxima Services Includes
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Full Payroll Outsourcing
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Hybrid Payroll Outsource
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International Payment Management
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Local Filing
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Social Security Filing
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Interact with Local Authorities
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Human Resources Management System
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Integration with all Accounting and Third Party
Software
Benefits of outsourcing to Praxima
Local Tax Compliance
Secure Data Transferring
Responsive Administrators
Increase Productivity
Industry Experts
Running Your Payroll
Focus on Your
Core Business
Comply with Local and International Payroll Standards in Cameroon
Payroll in Cameroon
Cameroon's tax year is a calendar year, ending on 31 December of each year. Income taxes are calculating on a sliding scale running from 11% to 38.5%. It is required by the employer to deduct taxes from the employee's salaries and remit the funds to the authorities before the 15th of each month. This however is not required should the employee earn less than XAF 62 000 per month.
TAX RATES | 2019 / 2020
Tax Rates: XAF
11%: 0 – 2,000,000
16.5%: 2,000,001 – 3,000,000
27.5%: 3,000,001 – 5,000,000
38.5%: 5,000,001 - above
STATUTORY FILING | 2019 / 2020
Social Security declarations are done online after which an automated email is received. This email must be submitted at a local bank when payments are made in person the bank. Thereafter, the bank receipt and email needs to be taken to the relevant Social Security Office to obtain a stamp for confirmation that payments has been made. The company's annual turnover is used to determine which tax office must be used. Each tax office contains a social security office inside.
SOCIAL SECURITY | 2019 / 2020
Employees are obliged to contribute 4.2% of their taxable salary to the National Social Insurance Fund (NSIF) covering old age pension, survival pension and permanent and total disability, which shall be capped at XAF 750,000.
For the housing fund, the Employee contributes 1% of their taxable salary to the Cameroon Housing fund while the employer contributes 1.5%
Tax Residents
All individuals with a fiscal domicile in Cameroon, in principle, will be taxed on their worldwide income. Foreign individuals who are staying in Cameroon for 183 days or more are subject to Cameroon payroll taxes and social contributions, unless they prove that the job function they are performing in Cameroon is of an accessory nature.
Taxable Income 2018 / 2019
Personal gross income includes categories such as employment income, income from stocks and shares, from real property, commercial income and more. Each taxable income is assessed by its own special rules.
The basis of the assessment for employment income is the gross amount of all wages, salaries, pensions, annuities, as well as benefits in cash or kind. Benefits in kind are assessed on the following based on the taxable income: Housing 15%; Electricity 4%; Water 2%; per vehicle 10%; Food 10%
Exempt Income 2018 / 2019
The basis of assessment for employment income is the gross amount of all wages, salaries, annuities and pensions as well as any benefits in kind or in cash.
There are however a wide range of allowances that are exempted from tax, which includes, but not limited to, family allowances and benefits, benefits that are paid by any state authority by virtue of the law, special allowance to cover inherent duty, temporary allowances, benefits and life annuities that are paid to victims of an industrial accident or other rightful claims. Vacation fare for an expatriate worker or their family is also not taxable.
Your HRMS is Standard
Employee Self-service
Payslip and tax certificate retrieval. Updating of personal particulars. Leave request and balance enquiries
Records
Employee documents folder. Training records. Heath & Safety records. Disiplinary records. Qualifications, resume and hiring records.
Work Flow
Workflow with different approval levels. Full work flow functionality for leave requests, expense and time-sheets
PAYMENTS, REPORTING & FILING
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Direct payment into employee bank accounts. Emailed password protected pay slips.
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Payment of taxes, benefit providers and other creditors.
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Filing of returns to the authorities.
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Generation and filing of statutory reports.
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General ledger and 100's of customisable reports.
