Income tax on rent, worked example, in Tunisia

August 23, 2016

Non-resident couple´s rental income1 US$1,500 US$6,000 US$12,000
Annual Rental Income (2) 18,000 72,000 144,000
Less Expenses (3) (5,400) (21,600) (43,200)
Less Real Estate Tax (4) (360) (1,440) (2,880)
= Taxable Income US$12,240 US$48,960 US$97,920
Income Tax 4
Up to TND1,500 nil
TND1,500 – TND5,000 15% 525 525 525
TND5,000 – TND10,000 20% 1,000 1,000 1,000
TND10,000 – TND20,000 25% 560 2,500 2,500
TND20,000 – TND50,000 30% 8,688 9,000
Over TND50,000 35% 16,772
Annual Income Tax Due US$2,085 US$12,713 US$29,797
Tax Due as % of Gross Income 11.58% 17.66% 20.69%
Thanks to:
Lassad Marwani & Co.

DISCLAIMER: The information contained above is marketing material only and is not written tax advice directed at the particular facts and circumstances of any person and should not be relied upon. We encourage you to discuss your particular situation with us or an independent tax advisor. This information was last updated on August 23, 2016.


1 The property is jointly owned by husband and wife, but in Tunisia, married couples are taxed separately (50% upon each partner). So the calculated figures in the tax bands reflect the tax rates applied to their separate incomes, with the resulting calculated individual tax total multiplied by two (to reflect the total net income derived from the properties). So for instance, in the US$1,500 monthly income band, each spouse has an income of TND12,240, which falls within the TND10,000 - TND20,000 tax band, not into the TND20,000-TND50,000 band.

2 Exchange rate used: 1.00 US$ = 2 .00 TND

3 Estimated values.

4 Individuals are subject to progressive income tax rates in Tunisia.

5 Rental income earned by nonresident individuals is taxed at progressive rates.


Up to 1,500 (US$ 750)
1,500 - 5,000 (US$2,500)
15% on band over (US$750)
5,000 - 10,000 (US$5,000)
20% on band over (US$2,500)
10,000 - 20,000 (US$10,000)
25% on band over (US$5,000)
20,000 - 50,000 (US$25,000)
30% on band over (US$10,000)
Over 50,000 (US$25,000)
35% on band over (US$25,000)


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