Amel Zaidi1, Halim Zaidi2,*
1Faculty of Law, University of Setif 2, Setif, Algeria.
2Senior Business Tax Advisor Manager, EY Algeria, Algiers, Algeria.
*Corresponding author: Halim Zaidi
Different stakeholders of a company use the bylaws and the trade register to identify its activities, the absence of a code dedicated to one or several activities may reduce their visibility and impact their potential decisions. This topic takes a significant importance in Algeria where different activities are subject to different treatments from tax and forex sides. The absence of the right activity code on the company trade register may create several complications for the company and its stakeholders, as the tax authorities may consider that a company is carrying out only production activity, and grant the favorable tax regime applicable to production activity to its global turnover, while it is providing in addition to its production activity services to its clients (service activity does not benefit from this favorable tax regime); this lack of visibility of the company’s activities impacts in addition to the tax authorities, the decisions of commercial banks and potential investors The toll manufacturing is a service activity that production companies having assets (machines and plants) provide to their clients generally under a subcontract agreement is taken as an example in this article (notably as the Algerian trade register nomenclature does not provide a dedicated code to this activity) to illustrate this problematic and highlight the necessity to consider it in Algeria.
Ben Hamidouch Noureddine, The Code of Economic Activities Subject to Registration in the Commercial Register as a Mechanism for the Management of Commercial Activities, Al-Turath Magazine, Issue 29, Volume One, December 2018.
Circular of the tax authorities n° 211 MF/DGI/DLRF/SD1/2016.
Civil Algerian code https://www.joradp.dz/trv/fcivil.pdf.
Decocq, A., Decocq, G. (2018). Competition Law, Paris, L G D J.
Jauffret, A. and Mestre, J. (1995). Commercial law, 22nd edition, Paris, L G D J.
Law 04-08 of August 14, 2004 the conditions for the exercise of commercial activities JO n 52 of 18-8-2004 modified and completed.
Malaurie-M. (2020). Domestic and European competition law, 8 editions, Paris, Dalloz edition.
Merle Ph. (2004). Commercial law, commercial companies, Dalloz, Paris.
Practical Guide for taxpayers (Ministry of Finance, Directorate General of Taxes, 2021), https://www.mfdgi.gov.dz/.
Trade Algerian code Ordinance N° 75-59 dated September 26, 1975, https://www.joradp.dz/trv/FCom.pdf.
How to cite this paper
Importance of an Adequate Activity’s Codification for the Companies’ Activities Identification in Algeria—Toll Manufacturing Case as an Example
How to cite this paper: Amel Zaidi, Halim Zaidi. (2022) Importance of an Adequate Activity’s Codification for the Companies’ Activities Identification in Algeria—Toll Manufacturing Case as an Example. Journal of Humanities, Arts and Social Science, 6(2), 233-236.