Federal Income Tax Proclamation

The Proclamation applies to residents of Ethiopia concerning their worldwide income, and non-residents concerning their Ethiopian source income. The proclamation recognises 3 categories of taxpayers; category A taxpayers are bodies or individuals having an annual gross income of Birr 1,000,000 or more; category B taxpayers are individuals, other than bodies, having an annual gross income of Birr 500,000 or more but less than 1,000,000; while category C taxpayer is individuals other than bodies, having an annual gross income of less than Birr 500,000.