VAT rates in Madagascar

Quick overview

Standard Rate Reduced Rate Other Rates
20% 5% Zero-rated (0%), Exempt

The local name for VAT in Madagascar is Taxe sur la Valeur Ajoutée (TVA).

There are basically 2 VAT rates in Madagascar:

  • Standard VAT rate is 20%
  • Reduced VAT rate is 5%

Recent developments

For more information about (recent) rate change developments in Madagascar, please click HERE.

Standard rate: 20%

This rate applies for all transactions that take place in Madagascar, unless an exception applies (such as a reduced rate, the zero rate or an exemption, or a reason to treat the transaction as outside scope of VAT).

Reduced rate: 5%

Examples of goods and services taxable at 5%

  • Locally produced pasta products (
  • Imports and sales of butane gas and their containers


  • Education (incl. books) & training costs
  • Financial transactions (interest, transactions related to shares, …)
  • Insurance
  • Water and electricity by individuals
  • Health Services (inc. medicines, lenses, …)
  • Newspapers and periodicals
  • Stamps and legal currency
  • lenses
  • Basic food for human consumption (Incl. maize, flour, oil, wheat, rice, paddy, fluorine, milk and food related equipment)
  • Seeds (incl. potato seed, corn seed, wheat seed and soybean seed)
  • Food and equipment for animals  materials
  • Public sports equipment
  • Equipment for the production of renewable energy
  • Air and sea transport of people and goods
  • Membership fees and contributions of members of management centers
  • Kerosene
  • Wheelchairs and other invalid vehicles
  • Devices and equipment for hemodialysis
  • Denatured flammable ethanol

A global VAT/GST rate overview can be found here (note this is a work in progress).

This post was last updated on August 31, 2021.



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