Burundi Capital Gains Tax Guide 2026

Overview — CGT in Burundi

Capital gains tax in Burundi is governed by the Code Général des Impôts. A chargeable gain arises when a person disposes of a capital asset for consideration exceeding the allowable cost. Disposal includes sale, exchange, and gift. Burundi taxes residents on worldwide capital gains. Resident individuals and companies are taxed on gains from assets worldwide; non-residents are taxed only on gains from Burundian assets. A separate 15% rate applies to capital gains for both individuals and companies, distinct from the ordinary income tax rates.

CGT on Property — 15%

Gains from the disposal of real property (land and buildings) are subject to CGT at 15%. The chargeable gain is calculated as: Selling price minus (Acquisition cost + Incidental costs + Improvement expenditure). Allowable costs include the original purchase price, legal fees, notarial fees, stamp duty, and capital improvements. The gain is assessed in the year of disposal. The principal private residence may be exempt if the property has been occupied as the main residence for a minimum period.

CGT on Securities & Shares — 15%

Gains from the disposal of shares and other financial instruments are subject to CGT at 15% for both individuals and companies. This covers shares in both listed and unlisted companies, partnership interests, and similar equity instruments. The gain is calculated as the difference between the sale proceeds and the acquisition cost. Losses on share disposals may be offset against gains on other assets. There is no separate treatment for trading vs investment securities — the 15% rate applies broadly.

Business Asset Disposals

For companies, capital gains on the disposal of fixed assets (property, plant, machinery, intangible assets) are subject to CGT at 15%, separate from the standard CIT rate of 30%. Rollover relief may be available when the proceeds from the disposal of a business asset are reinvested in a replacement asset within a specified period. For individuals selling business assets, the 15% CGT rate applies to immovable property and shares, while movable business assets may be subject to income tax as trading income.

FAQs

How do I calculate my chargeable gain?

The chargeable gain is the difference between the disposal proceeds (net of selling costs) and the acquisition cost (plus enhancement expenditure). Example: Buy land for BIF 50,000,000, sell for BIF 80,000,000, costs of BIF 3,000,000. Gain = 80,000,000 − 50,000,000 − 3,000,000 = BIF 27,000,000. CGT at 15% = BIF 4,050,000.

Can I offset capital losses against capital gains?

Yes, capital losses in a tax year may be offset against capital gains in the same year. Unrelieved losses may be carried forward. Losses on one asset class may offset gains on another.

What assets are exempt from CGT?

Principal residence (subject to occupancy condition), personal motor vehicles, assets transferred on death, and gains below certain thresholds.

Disclaimer

This guide provides general information about Burundian capital gains tax for the 2026 tax year. Tax laws and rates may change. Always consult with a qualified Burundian tax advisor or the Office Burundais des Recettes for advice specific to your situation. InvestmentKit does not provide tax advice.