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Sales tax Calculator Somalia (5%)

Add or remove Sales tax from any USD amount. The rate is editable, and the formulas below show the arithmetic so you can check any invoice by hand.

  • US$ USD
  • Sales tax 5%
  • TIN
  • A4
  • English
%

Standard rate in Somalia is 5%.

Total with Sales tax

$1,050.00

  • Net amount$1,000.0095.2%
  • Sales tax$50.004.8%
Net amount
$1,000.00
Sales tax at 5%
$50.00
Gross amount
$1,050.00
The federal sales tax is 5% for most goods and services (Sales Tax Law No. 2 of 1984, art. 4), but the Revenue Directorate lists 15% for telecommunications, 25% for banks and money-transfer services and 10% for supply-chain service companies. It is the federal rate, collected mainly in Mogadishu; Somaliland and Puntland levy their own taxes independently.

Reduced rates, zero rates and exemptions

Somalia's federal sales tax is not a single flat rate. The Revenue Directorate's Indirect Tax page lists 5% for imports, wholesale trade, hotel bills, industrial products, water and electricity, education and health, and other companies; 10% for supply-chain service companies; 15% for telecommunications; and 25% for banks and express (money-transfer) services.

Sales Tax Law No. 2 of 1984, Article 20, exempts food other than canned food, medicine, fuel, the country's farm produce, livestock and exports, and goods or equipment of a person already exempt from import duty or imported only temporarily. Under Article 4 the 5% is charged on the value of imports including customs duty, on the wholesale sale price, or on the hotel bill. Article 36 of the 2024 Revenue Administration Regulation deems sales made through a Merchant Account to include sales tax, so the amount shown there is tax-inclusive.

How to calculate Sales tax in Somalia

Add: tax = net × 0.05; gross = net × 1.05.

Remove: net = gross ÷ 1.05; tax = gross − net.

Standard rate in Somalia is 5%.