Economy Profile: Burundi - Doing Business

Doing Business 2013
Burundi
73
PAYING TAXES
What are the details?
The indicators reported here for Burundi are based
on a standard set of taxes and contributions that
would be paid by the case study company used by
Doing Business in collecting the data (see the
section in this chapter on what the indicators
cover). Tax practitioners are asked to review
standard financial statements as well as a standard
list of transactions that the company completed
during the year. Respondents are asked how much
in taxes and mandatory contributions the business
must pay and what the process is for doing so.
LOCATION OF STANDARDIZED COMPANY
City: Bujumbura
The taxes and contributions paid are listed in the
summary below, along with the associated number of
payments, time and tax rate.
Summary of tax rates and administrative burden in Burundi
Indicator
Burundi
Sub-Saharan
Africa average
OECD high income
average
Payments (number per year) 25 39 12
Time (hours per year) 274 319 176
Profit tax (%) 40.0 19.0 15.2
Labor tax and contributions (%) 10.2 13.3 23.8
Other taxes (%) 2.8 25.5 3.7
Total tax rate (% profit) 53.0 57.8 42.7
Note: In cases where an economy’s regional classification is “OECD high income,” regional averages above are only displayed
once.
Tax or mandatory
contribution
Payments
(number)
Notes on
payments
Time
(hours)
Statutory
tax rate
Tax base
Total tax
Notes on
rate (% of
total tax rate
profit)
Corporate income tax 4 80 35% (1%)
Social security contributions 4 48 6%
Dividend tax 1 0 15%
Accident risk fund 0 paid jointly 0 3%
taxable
profit
gross
salaries
distributed
dividends
gross
salaries
34.2
6.8
4.8
3.4