Use the Algerian term: IRG
Some users search for IRPP, but Algerian payroll uses IRG: global income tax, salary category. A payroll software must therefore manage salary IRG, taxable base, withholding at source, the progressive scale and declarations.
This vocabulary matters because payroll rules should not be copied from another country.
DGI rules for 2026
The DGI salary IRG page states that monthly salary income up to 30,000 DA is exempt. Salaried workers between 30,001 DA and 35,000 DA follow the progressive scale with a first 40% abatement and a second formula-based abatement. Above 35,000 DA, the progressive scale applies with the 40% abatement.
Disabled workers and retirees have a specific treatment zone up to 42,500 DA. Non-monthly bonuses, gratuities, allowances and reminders are treated as a separate monthly income with a 10% withholding at source.
The taxable base is not simply gross pay
Before applying the scale, payroll must classify salary items: base salary, bonuses, allowances, benefits, absences, deductions and employee social contributions. Each item must state whether it is subject to CNAS, taxable for IRG, monthly or exceptional.
Poor classification creates wrong net pay even when the final payslip looks clean.
The IRG review must therefore be connected with CNAS payroll calculation, payslip controls, social contributions and the accounting journal. Salary tax is a payroll calculation and a tax liability at the same time.
G29 and NIN
The DGI mentions the annual G29 declaration and the obligation to include each employee’s NIN under the 2026 finance law. An incomplete employee file can therefore become a tax issue, not only an HR issue.
Monthly checks
Before closing payroll, list employees with zero IRG, employees near threshold zones, exceptional bonuses, salary reminders, large month-to-month IRG changes and missing NIN. The goal is not to recalculate every payslip by hand. The goal is to isolate the cases where a classification or employee file issue could create a wrong declaration.
Official references
FAQ
Why does an employee have zero IRG?
The employee may be under the exemption threshold or in a case where the calculated withholding is zero. The payslip should show this clearly.
Are all bonuses taxed the same way?
No. Their nature and periodicity matter. The payroll item must be classified before use.
Takeaway
Salary IRG should be a monthly control, not a hidden formula. The company must be able to explain the taxable base, withholding, exceptions and declaration total.