French, Mòoré, Fulfulde, Dioula
19,751,651 (as of 2019)
Burkina Faso Franc
Q: What are the different types of companies that can be formed in Burkina Faso?
A: There are four types of companies that can be formed in Burkina Faso: Sole Proprietorship, Limited Liability Company, Public Limited Company, and Partnership.
Q: What is the minimum capital required to start a company in Burkina Faso?
A: The minimum capital required to start a Limited Liability Company in Burkina Faso is XOF 1 million.
Q: What is the process for registering a company in Burkina Faso?
A: The process for registering a company in Burkina Faso involves the following steps:
1. Reservation of the company name and drafting the articles of association
2. Notarization of the articles of association
3. Registration with the Chamber of Commerce
4. Registration with the Trade and Personal Property Credit Register
5. Payment of registration fees and obtaining the tax identification number.
Q: What are the tax obligations for a company in Burkina Faso?
A: Companies in Burkina Faso are subject to several taxes, including Corporate Income Tax, Value Added Tax (VAT), and Payroll Taxes. The corporate income tax rate is 27.5%, and the VAT rate is 18%.
Q: Is it necessary to have a local partner to start a company in Burkina Faso?
A: No, it is not necessary to have a local partner to start a company in Burkina Faso. However, it is mandatory to have a local representative who is a resident of Burkina Faso.
Q: What is the minimum number of shareholders required to form a Limited Liability Company in Burkina Faso?
A: The minimum number of shareholders required to form a Limited Liability Company in Burkina Faso is two, and the maximum number is fifty.
Q: How long does it take to register a company in Burkina Faso?
A: The registration process for a company in Burkina Faso takes approximately 15-30 days, depending on the type of company and the efficiency of the registration authorities.
Burkina Faso is a landlocked country located in West Africa with a relatively simple tax system. The tax system in Burkina Faso is regulated by the General Tax Code and administered by the General Directorate of Taxes.
Personal income tax is levied on all residents of Burkina Faso, including foreign nationals who reside in the country for more than 183 days per year. The tax rates are progressive, ranging from 0% to 35%, depending on the income level. The first XOF 360,000 of annual income is exempt from taxation, and there are various deductions and credits available to reduce the tax liability.
Corporate income tax is levied on all companies and businesses operating in Burkina Faso. The standard corporate tax rate is 27.5% on the net taxable income. However, there are various tax incentives available for certain industries and activities, such as the promotion of research and development and investment in certain regions of the country.
In addition to federal taxes, there are also other taxes levied on businesses operating in Burkina Faso, such as the value-added tax (VAT), which is currently 18%, and various excise taxes on certain products.
The tax year in Burkina Faso runs from January 1st to December 31st. The deadline for filing personal income tax returns and paying any outstanding tax is usually March 31st of the following year, while the deadline for filing corporate tax returns and paying any outstanding tax is generally June 30th of the following year.
Payments can be made online or in person at designated banks. Penalties for late payment or non-payment of taxes can range from fines to imprisonment, depending on the severity of the offense. Additionally, interest may be charged on any outstanding tax liability.
Overall, taxation in Burkina Faso is relatively simple, with a moderate tax burden compared to other countries in the region. It is important for taxpayers to consult with local tax advisors or government authorities to ensure compliance with the relevant tax regulations.
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