The Cameroonian palm oil company received 1.5 billion FCfa in tax reductions for 2013

In its financials that have just been published, the Cameroonian palm oil company (Socapalm) reveals that it received a tax reduction of 1.5 billion in 2013 as was already the case in 2012 with the application of Cameroon’s reinvestment tax policy.

This fiscal measure which aims to encourage economic operators to reinvest their profits to produce more and create more jobs, “will allow for the reduction of the taxable profit amount by 50% of the accepted reinvested sum and without being able to go beyond a half of the declared profit,” explain Socapalm’s financial experts. In short, the tax policy for reinvestment enabled Socapalm to only be taxed on some of the 5.1 billion FCfa of profits in 2013.

But, to benefit from this tax incentive, as is apparent in its 2013 figures, the agro-industrial company had to invest approximately 11 billion FCfa in 2013. The company explained that the sum of 5.1 billion FCfa was used to update and expand plantations, 2.9 billion oil mills and industrial buildings, 1.6 billion on community projects and 1.3 billion FCfa on equipment.