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
Tax Residents
In order to qualify as a tax resident in Ethiopia, an individual must live in the country for more than 183 days over a period of 12 months, continuously or intermittently.
Taxable Income
All income generated will be taxed, unless such income is exempted. Employment income are taxed on a sliding scale ranging from 0% - 35%.
Capital gains on immovable property are taxed at 15% and gains on the sale of shares and bonds are taxed at 30%.
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Exempt Income
The following employment income will be exempted from taxes:
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Pension contributions as determined under the Public Servants Pensions Proclamation or the Private Organisation Employees' Pension Proclamation
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Employer contributions to retirement benefits at a maximum of 15% of the employee's monthly salary
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Amounts paid by an employer toward costs of medical treatment, hardship and/or any other allowances
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Transport allowance up to ETB 2200 or 25% of the employee's basic monthly salary, whichever is the lowest.
Your HRMS is Standard
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.