Burkina Faso: Fraud Network Dismantled by CNLF
On Monday, October 2, 2023, the CNLF (National Coordination for the Fight against Fraud) revealed the operations of a network engaged in fraud related to the Value Added Tax (VAT) collections.
During the press conference, Dr. Yves Kafando, the CNLF coordinator, and his team provided details about this complex tax fraud scheme.
The scheme involved 10 individuals who created front companies, also known as «Taxi» companies, and lent their unique Tax Identification Numbers (TIN) to various service providers for multiple transactions.
After this stage, tax fraud occurred because the collected VAT was never remitted to the authorized authorities.
The coordinator of the CNLF highlighted that identities of innocent citizens were used in the creation of these fake companies.
Over the course of this dismantling operation that spanned three years, more than 100 companies were apprehended by law enforcement.
In terms of losses for the Burkinabe state, CNLF reported approximately 3 billion CFA francs. To date, they have managed to recover over 378 million CFA francs.
It’s important to note that the CNLF’s mission is to combat tax, customs, economic, and environmental fraud in Burkina Faso.
In the year 2023, the National Coordination for the Fight against Fraud successfully mobilized 272 million CFA francs in revenue, surpassing the projected 178 million CFA francs, achieving a realization rate of 152.9%, with one quarter of the fiscal year remaining.
Olivier TOE
