Burkina Faso

Scope of VAT

VAT is charged on the supply of goods and services rendered or used in Burkina Faso, subject to the exemptions list. All economic activities fall within the scope of VAT, including the activities of independent professionals (lawyers, chartered accountants etc.), except for salaried activity.

The tax basis corresponds to the amount of money paid for the provision of goods or services.

In the case of importation, the tax base corresponds to the customs valuation (price of sale of goods plus cost of insurance and transportation, etc. until arrival in Burkina Faso), plus any excise duties.

VAT incurred on the acquisition of goods and services wholly attributable to the making of taxable supplies may be claimed as input tax.

A VAT prepayment or withholding tax scheme was introduced in 2022.

Rates applicable

Registration threshold

Individuals, or company, who independently carry out, on a regular or occasional basis, one or more transactions subject to VAT, when their turnover exceeds XOF 50,000,000.

Also, individuals, or company, exercising a liberal profession as well as the holders of offices are automatically subject to VAT, regardless of the amount of turnover achieved. 

The state and its local bodies and public establishments are automatically liable for VAT on their industrial and commercial activities.

Every person liable for VAT must file a VAT return by the 15th of each month, on a model form issued by the tax administration, in respect of transactions which occurred during the previous month.

Where a taxpayer is not domiciled in Burkina Faso, they must have a representative domiciled in the country accredited with a tax department, who undertakes how to complete taxpayers’ obligations.

Otherwise, the penalties are required from the beneficiary of the transaction.