Cabo Verde Tax Calculator (2026)
Income tax rates and take-home pay for Cabo Verde
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Cabo Verde Income Tax Brackets (2026)
| Bracket | Income Range | Rate |
|---|---|---|
| First bracket | CVE 0 - CVE 960,000 | 16.5% |
| Second bracket | CVE 960,000 - CVE 1,800,000 | 23.1% |
| Third bracket | CVE 1,800,000+ | 27.5% |
Personal allowance: CVE 220,000
Social security contribution (employee)
| Bracket | Income Range | Rate |
|---|---|---|
| Standard employee contribution | CVE 0+ | 8.5% |
Key Facts
Tax Year
2026
Currency
CVE
Top Rate
27.5%
Brackets
3 brackets
Allowance
CVE 220,000
Social Contributions
1 item
Assumptions
- · Model represents a resident employee under the declarative method (Category A income).
- · Tax-free allowance of CVE 220,000 applied as a standard relief against taxable income.
- · Personal deductions (health, rent, education, alimony) capped at CVE 12,500–25,000 are not modeled individually; a representative allowance-based approach is used instead.
- · Dependent allowances (CVE 5,000 per dependent up to CVE 25,000 total) are not included; default person has no dependents.
- · Social security employee contribution (8.5%) is deductible from gross income before income tax.
- · Non-habitual resident regime (10% flat rate) and other special regimes are not modeled; standard declarative brackets apply.
- · No voluntary or employer-only contributions included.
- · VAT, property tax, and consumption taxes are not included in net salary calculation.
Frequently asked questions
How much income tax do I pay in Cabo Verde?
Cabo Verde uses a progressive tax system with three brackets: 16.5% on income up to CVE 960,000, 23.1% on income between CVE 960,000 and CVE 1,800,000, and 27.5% on income above CVE 1,800,000. You also get a standard tax-free allowance of CVE 220,000 that reduces your taxable income before these rates apply.
What is the social security contribution for employees in Cabo Verde?
Employees in Cabo Verde contribute 8.5% of their gross income to social security. The good news is that this contribution is deductible from your gross income before income tax is calculated, which reduces your overall tax burden.
Do I need to pay income tax as an expat or remote worker in Cabo Verde?
Yes, if you are a resident employee in Cabo Verde, you are subject to the standard income tax brackets and social security contributions. The tax system applies to residents regardless of nationality, though there are special regimes like the non-habitual resident regime (10% flat rate) that may apply in certain situations; you should consult a local tax advisor to see if you qualify.
What deductions can I claim on my Cabo Verde income tax?
The main relief available is a tax-free allowance of CVE 220,000 applied automatically against your taxable income. While personal deductions for health, rent, education, and alimony do exist and are capped at CVE 12,500 to CVE 25,000, they are typically handled through a representative allowance-based approach rather than itemized individually.
Is there VAT or other consumption tax in Cabo Verde?
While Cabo Verde does have VAT and property taxes, these are not included in the net salary calculation on this tax calculator. This tool focuses on income tax and social security contributions for employees; you may want to research consumption taxes separately if you are concerned about your overall cost of living.
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