Mozambique

{"ftc_utility":"high","fbar_trigger_notes":"US expats working in Mozambique typically require a local bank account in Mozambican metical (MZN). If aggregate balances across foreign accounts exceed $10,000 USD at any point during the calendar year, FBAR filing is required. Mozambique's banking system is limited in coverage outside Maputo.","ftc_utility_reason":"Mozambique taxes residents on worldwide income at rates up to 32%, which frequently exceeds US tax liability on the same income. The Foreign Tax Credit is highly useful for US expats to offset Mozambican IRPS against US federal tax, particularly for higher earners who exceed FEIE limits.","presence_day_count_notes":"Mozambique does not impose exit permit requirements that would prevent accumulation of 330 qualifying days. Standard visa and residence permit rules apply. Long-stay visas and work permits are available. No known restriction that specifically disrupts the 330-day physical presence count.","typical_qualifying_method":"either","housing_exclusion_available":true,"physical_presence_test_applies":true,"estimated_housing_exclusion_usd":16000,"local_tax_rate_on_earned_income":0.32,"bona_fide_residence_test_applies":true}

{"pension_income":{"notes":"Foreign pension income is taxable under IRPS at progressive rates up to 32%. Mozambique taxes residents on worldwide income. No special pension exemption or reduced rate exists for foreign pensions.","tax_rate":0.32,"locally_taxed":true},"social_security":{"notes":"No US-Mozambique totalization or tax treaty. US Social Security benefits received by a Mozambique resident are treated as foreign pension income subject to IRPS.","locally_taxed":true,"treaty_protection":false},"roth_distributions":{"notes":"No treaty exemption exists. Roth distributions may be treated as income by Mozambican tax authorities, though the tax treatment of previously taxed contributions is uncertain in practice. Local tax advice is recommended.","locally_taxed":true},"us_401k_ira_distributions":{"notes":"No US-Mozambique income tax treaty exists. Distributions from US 401k or IRA accounts received by a Mozambique tax resident are treated as foreign-source pension or income and subject to IRPS at progressive rates up to 32%. The US Foreign Tax Credit may be used on the US side to offset double taxation.","tax_rate":0.32,"locally_taxed":true,"treaty_protection":false}}

{"rate":0.32,"notes":"Mozambique does not have a standalone capital gains tax. Gains on disposal of assets are generally included in taxable income and subject to the progressive IRPS rates, with the top rate at 32%. Certain gains may be subject to withholding tax at reduced rates depending on asset type.","details":{"tax_type":"Capital Gains Tax","country_name":"Mozambique","country_iso_code":"MOZ","source_references":["PwC Worldwide Tax Summaries - Mozambique","Mozambique IRPS Code"],"last_verified_date":"2026-06-03","general_description":"Capital gains in Mozambique are not taxed under a separate regime. For individuals, gains from disposal of assets are folded into the IRPS (personal income tax) framework and taxed at progressive rates up to 32%. Gains from sale of shares and other financial instruments may be subject to a 20% withholding tax for non-residents.","corporate_capital_gains":{"rate":0.32,"tax_treatment":"Included in ordinary corporate income and taxed under IRPC at the standard 32% rate."},"individual_capital_gains":{"rate":0.32,"tax_treatment":"Included in personal income and taxed under IRPS progressive rates up to 32%. Non-resident gains on shares may attract 20% withholding."}}}

{"notes":"Dividends paid to resident individuals are subject to a 20% withholding tax, which is final. Dividends paid to non-residents are also subject to 20% withholding. No additional personal income tax applies on top of the withheld amount for residents.","rates":[{"rate":0.2,"type":"withholding","notes":"Standard rate for resident and non-resident individuals; treated as final tax."}]}