Minimum capital, audit triggers and contribution ceilings were set before 2019 and are still stated in lira. Reading them at current exchange rates gives a very different picture.
- Nominal capital, real value
- Dual-currency bookkeeping
- Why does Lebanon's minimum share capital look so low?
Lebanon applies a flat 17% corporate income tax rate and an 11% standard VAT rate (a rise to 12% was approved by Cabinet in February 2026 but is not yet enacted), figures that read as unremarkable next to most jurisdictions in the region. The defining operational fact for any business in Lebanon is not the tax code but the currency: the Lebanese pound has lost more than 98% of its value since the pre-2019 official peg of LBP 1,507.5 per US dollar, trading at approximately LBP 89,600 per dollar in mid-2026, with the pre-crisis official peg long since replaced by market-driven pricing for virtually all transactions.
What a company pays in Lebanon. Every figure below is published on the Lebanon country page.
| Lebanon | |
|---|---|
| Corporate tax rate | 17% flat |
| VAT standard rate | 11% (Cabinet approved a rise to 12% in February 2026; not yet enacted pending parliamentary legislation) |
| VAT reduced rates | None — exports, export-related services and international transport are zero-rated; banking, financial and insurance services are exempt |
| Accounting standard | Lebanese Chart of Accounts (Plan Comptable Général Libanais), with IFRS required for financial statement preparation; maintained in both LBP and foreign currency |
| Currency | LBP (Lebanese pound) — market rate ~LBP 89,600/USD (mid-2026); most contracts and pricing are effectively USD-denominated |
What makes it complex in Lebanon
- Nominal capital, real value — — the SARL minimum capital (LBP 5,000,000) and the sole-proprietorship audit trigger (LBP 750 million turnover) were fixed before the 2019 collapse and now equate to roughly $56 and $8,370 respectively at market rates, catching far more businesses than either threshold originally intended.
- Dual-currency bookkeeping — — the Lebanese Chart of Accounts (Plan Comptable Général Libanais) must be maintained in both LBP and foreign currency simultaneously, with no single official rate governing the conversion.
Why does Lebanon's minimum share capital look so low?
The SARL minimum of LBP 5,000,000 was set at a time when it equated to roughly $3,300 at the official pre-2019 peg of LBP 1,507.5 per dollar. Since the lira's collapse, that same nominal figure is worth approximately $56 at the mid-2026 market rate of roughly LBP 89,600 per dollar — the law was never amended, only the currency changed.
Does the statutory audit requirement apply to small companies?
Yes, for SARL and SAL entities it applies regardless of size — Ministerial Decree No. 8089/1996 requires an LACPA-registered CPA audit for every SARL, SAL, holding, offshore company and foreign branch. Sole proprietorships and partnerships are only required to audit above 25 employees or LBP 750 million turnover, a threshold now equal to roughly $8,370 at market rates.
Nominal capital, real value is one of the points HTLC Network handles for clients operating in Lebanon, within a single engagement that covers every other country they operate in — executed locally, governed centrally.
In Lebanon the scope is: Dual-currency bookkeeping under the Lebanese Chart of Accounts (Plan Comptable Général Libanais), LACPA-audited annual statements, and VAT/CIT filings tracked against both LBP nominal thresholds and market exchange rates.
See Accounting & Tax Compliance in Lebanon for the full scope, or the Lebanon country page for the statutory framework across every service.
Figures as published on the HTLC Network country pages, reviewed September 2026 and collected from public sources. They are not a substitute for advice on a specific case and should be verified before being relied on.