Burkina Faso transfer pricing

General reference only. This skill is general tax/accounting reference material for AI-assisted workflows. It has not been reviewed for any specific person's facts, documents, elections, deadlines, residency, filing status, or local procedures. Do not rely on it to file, pay, amend, or take a tax position without review by a qualified professional in the relevant jurisdiction.

Who this applies to

Use this Guide to identify controlled transactions, test the annual declaration and documentation obligations separately, and prepare the documentation for an audit. CGI article 66 covers enterprises controlling, controlled by, or under common control with enterprises inside or outside Burkina Faso. Majority capital or voting rights and actual decision-making power establish control. Transactions with a foreign enterprise in a privileged-tax jurisdiction do not require that control connection. These are rules for determining IS profits, not a separate transaction tax. CGI arts. 65–66.

Article 65 treats a foreign regime as privileged if the enterprise is untaxed there or its profit/income tax is less than half the corresponding ordinary Burkina Faso tax. The statutory comparison concerns tax payable, not merely a comparison of headline rates. Keep evidence of the foreign tax computation. CGI art. 65.

Rates, bands and thresholds

Test	2026 condition and result	Official source
Annual TP declaration, own size	Annual turnover excluding tax or gross assets above XOF 1 billion, plus an article 66 control/dependence relationship	CGI art. 98-1(1)–(2)
Annual declaration, group link	At year-end, directly/indirectly holds more than half the capital/votes of an enterprise above that size, or is more than half held by such an enterprise; apply even if the local enterprise is smaller	CGI art. 98-1(2)
Audit documentation, own size	Annual turnover excluding tax or gross assets at least XOF 1 billion, with linked-enterprise transactions	CGI art. 99(1)–(2)
Audit documentation, group link	At year-end majority ownership in, or majority ownership by, an enterprise meeting the at-least threshold; direct and indirect ownership count	CGI art. 99(2)
Documentation formal-notice period	30 days to produce or complete the documents specified in the notice	CGI art. 99(4)
Missing/incomplete/inaccurate annual declaration by its deadline	XOF 10 million fine	CGI art. 757(2)
Incomplete/no response to documentation notice	Per audited year: 0.5% of the transactions affected by missing documents, minimum XOF 10 million	CGI art. 757(3)

The strict above threshold in article 98-1 and at least threshold in article 99 differ. Test both; being outside the annual declaration is not an exemption from arm's-length pricing. An enterprise below article 99(2)'s formal-documentation tests can still be required during an audit to explain its foreign-enterprise relationships and pricing method under article 99(5). CGI arts. 66, 98-1, 99.

The base

Reconcile each controlled transaction to contracts, invoices, delivery/service evidence, ledgers and the annual accounts. Article 66 adds indirectly transferred profits back to accounting results, comparing the controlled result with what would have arisen without control. A group policy or contract alone does not establish an arm's-length price. CGI arts. 66 and 99(4).

For documentation used from 14 July 2026, use Arrêté 2026-000287/MEF/SG/DGI. Article 7 repeals the 2022 documentation order; article 8 makes the new order effective on signature. The October 2026 CGI still reproduces the 2022 order: use the separately published signed 2026 order for the current documentation contents. 2026 order arts. 7–8.

Prepare both files under articles 1–3 of that order. Check off the following contents against the underlying documents.

Master file, article 2:

1. Structure: a chart of the group's legal and ownership structure and the geographical locations of its operating entities.
2. Business: important profit drivers; supply chains of the five largest goods/services ranked by turnover and any other good/service over 5% of group turnover; important intragroup service arrangements excluding R&D services, with the main service sites' capabilities and the cost-allocation and service-pricing policies; principal geographical markets for those goods/services; key functions, important risks and assets contributing to value; significant reorganisations and acquisitions/disposals of assets during the fiscal year.
3. Intangibles: the group's development, ownership and exploitation strategy, including main R&D installations and R&D management locations; important intangibles/categories and their legal owners; important cost-sharing, principal research-service and licence agreements; R&D/intangible pricing policies; significant transfers of interests in intangibles during the year, identifying the entities, countries and consideration.
4. Financing: how the group is financed, including important financing agreements with independent lenders; each group entity with a central financing function, its country of incorporation law and effective-management location; intragroup-financing pricing policies.
5. Financial and tax position: annual consolidated group accounts for the fiscal year if otherwise prepared for financial reporting, regulatory, internal-management, tax or other purposes; a list and short descriptions of unilateral APAs and other tax-authority decisions concerning the allocation of profits between countries.

2026 order art. 2(1)–(5).

Local file, article 3:

1. Organisation and business: management structure and organisation chart; the people to whom local management reports and the countries of their principal offices; the local business and strategy; restructurings or intangible transfers affecting it during the current or preceding year, explaining their impact; principal competitors.
2. Controlled transactions: the transactions and their context; payments and receipts by category and by the payer's/recipient's tax-residence country; counterparties and the nature of each related-enterprise relationship; copies of material intercompany agreements; detailed functional/comparability analysis of the local enterprise and relevant related enterprises, including changes from earlier years; the most appropriate method and reasons for choosing it; tested-party identity where applicable and reasons for selection; important assumptions; reasons for any multi-year analysis; uncontrolled internal/external comparables and relevant independent-enterprise financial indicators, with the comparable-data search method and sources; comparability adjustments and whether they affect the tested party, the comparables or both; why the method supports an arm's-length conclusion; a summary of the financial information used to apply the method; relevant foreign tax-authority decisions linked to the described transactions to which Burkina Faso is not a party.
3. Financial information: the enterprise's annual accounts for the fiscal year; information and allocation tables reconciling the method's financial data to those accounts; summary tables of the comparables' financial data and the sources from which those data are drawn.

2026 order art. 3(1)–(3).

Do not turn an illustrative comparable margin into a statutory safe harbour. Document the selection and adjustments that support the actual transaction. 2026 order arts. 2–3.

Deadlines and filing

1. Record the two size tests and ownership tests separately in the working paper. For an enterprise within article 98-1, complete the annual TP declaration in French using the form annexed to Arrêté 2022-101/MEFP/SG/DGI. Include local identity and activity; parent/group, intangibles and restructurings; controlled transaction values, counterparties, methods, loans, non-monetary transactions and relevant APAs/rulings. CGI art. 98-1; reproduced 2022 declaration order arts. 1–4.
2. Submit that declaration within article 95's annual-results period: by 30 April following the accounting year closed on 31 December; insurance/reinsurance companies have 31 May. Thus the ordinary statutory deadline for the 2026 year is 30 April 2027. This is separate from preparing documentation for an audit. CGI arts. 95 and 98-1(1).
3. Have the documentation available when the audit begins. Provide both paper and electronic versions. Electronic documents must be readable/exchangeable independently of the original environment; data tables must permit checking calculations, sorting and further computation. Supply French text, or a sworn translator's French translation. Confidentiality does not excuse disclosure. CGI art. 99(4); 2026 order arts. 4–6.
4. If formally notified to complete missing documentation, log the service date, the exact documents sought, the 30-day period and proof of delivery. Keep transaction evidence as well as the master/local files. CGI art. 99(4).

The DGI links eSINTAX from its official website. A current portal walkthrough, annex box numbers and submission confirmation workflow were not accessed. This Guide supports obligation screening and documentation preparation; stop before a filing instruction needing those unconfirmed details.

Penalties and interest

The declaration and documentation sanctions in the table address different defaults. For a documentation notice, calculate 0.5% only on transactions affected by the missing documents, then apply the statutory per-year floor. Do not apply that percentage to all turnover. CGI art. 757(2)–(3). A resulting IS adjustment is a separate liability; this Guide does not compute its ordinary IS, interest or cumulative sanctions.

Cross-border points

Domestic controlled transactions also fall within articles 66 and 99. A foreign privileged-tax counterparty brings article 66 into play without common ownership. Do not infer that documentation thresholds suspend the pricing rule. CGI arts. 65–66, 99.

Country-by-country reporting under article 98-2 is a separate obligation with parent, group, local-filing and substitution conditions. Do not decide that obligation from the XOF 1 billion tests above. The declaration, exchange-partner list and 2026 CbCR implementing order need a separate check before a filing conclusion. CGI art. 98-2.

Two worked examples that recompute

Simple price adjustment. Assume an established comparable uncontrolled price of XOF 12,000 per item, 1,000 items sold to a controlled enterprise at XOF 10,000, and no comparability adjustments. The accounting revenue is XOF 10 million; the supported revenue is XOF 12 million. Article 66's profit addition is XOF 2 million. These prices are fictional case inputs, not a prescribed markup.

name: Supported comparable price adjustment
inputs:
  units: 1000
  controlled_price: 10000
  comparable_price: 12000
steps:
  recorded_revenue: units * controlled_price
  supported_revenue: units * comparable_price
  profit_addition: supported_revenue - recorded_revenue
expected:
  recorded_revenue: 10000000
  supported_revenue: 12000000
  profit_addition: 2000000

Decision at the exact size boundary. An enterprise has XOF 1 billion turnover and XOF 800 million gross assets. Its controlling individual also controls another small enterprise; neither enterprise has a larger qualifying corporate owner or subsidiary. On the stated facts it has related-party transactions but fails the strictly-above own-size annual-declaration test and the alternative group-size tests. It meets the at-least documentation test. Preparing nothing would therefore be wrong. If it later fails to answer an article 99(4) notice for documents relating to XOF 100 million of transactions, the percentage fine is XOF 500,000 and the minimum raises it to XOF 10 million.

name: Exact boundary and documentation penalty floor
inputs:
  turnover: 1000000000
  gross_assets: 800000000
  threshold: 1000000000
  affected_transactions: 100000000
steps:
  size_difference: max(turnover, gross_assets) - threshold
  percentage_fine: affected_transactions * 0.005
  fine: max(percentage_fine, 10000000)
expected:
  size_difference: 0
  percentage_fine: 500000
  fine: 10000000

Ask the client first

• Which enterprises or people control the business, directly, indirectly or in fact, and what were the year-end ownership/voting rights?
• What are the local and linked enterprises' annual turnover excluding tax and gross assets?
• Which controlled transactions occurred, and where are counterparties established and taxed?
• What contracts, functions/assets/risks, comparable data and accounts support the prices?
• Is this annual compliance or an audit, and has a dated documentation notice been served?
• Does the group have a CbCR obligation or a proposed APA requiring separate work?

Sources

Official source	Provisions actually read	Read on
DGI official CGI 2026	Edition statement; arts. 65–66, 95, 98-1, 98-2, 99, 757; reproduced 2022-101 declaration order. Relevant sections read from the downloaded text, not the full 566 pages.	2026-11-01
Signed Arrêté 2026-000287/MEF/SG/DGI	All five scanned pages, arts. 1–8; signature 14 July 2026.	2026-11-01
DGI source index and eSINTAX link	Official CGI download and the eSINTAX navigation link; no authenticated portal session.	2026-11-01

Not yet confirmed: current annual-declaration annex box numbers and portal workflow; CbCR form, implementing order, exchange-partner list and any local/substitute-filing exemption for a particular group; APA application procedure; pre-14-July documentation practice; ordinary IS consequences and interaction/cumulation of sanctions. No accountant has attested to this draft. Independent AI source review was accepted for the stated draft scope; this is not an accountant review.