Rwanda Revenue Authority (RRA) registred Rwf371.5 billion in taxes in the first quarter of the 2020/2021 fiscal year, with an increase of Rwf20.3 billion above its 351.2 billion projection.
The taxman registered the mark thanks to increased collection of Value Added Tax (VAT) according to Commissioner General Pascal Bizimana Ruganintwali, who made the revelation on Wednesday during the launch of the taxpayer appreciation month at Serena Hotel held under the theme “support business for economic resilience”.
He said that the increase in VAT collection was due to high compliance levels experienced during the past months, despite hardships to busineses amid the #COVID-19 pandemic.
He also noted that RRA has highted public awareness and strictness on defaulting.
In FY 2019/20, RRA will continue to focus on optimization of revenue collection from the
current levels to enable the government meet its economic and social obligations.
For the financial year 2019/20, RRA revenue target for the national treasury has been set at
Rwf 1,579.0 billion of which Rwf 1,559.0 billion are expected to come from central
government taxes and Rwf 20.0 billion from non-tax revenues collected by RRA on services.
The numbers have not yet been revised.
RRA has to collect Rwf 67.3 billion of local government taxes and fees on behalf
of all districts of which Rwf 33.4 billion will be collected from local government taxes, while
Rwf 33.9 billion are expected to come from local government fees.
Revenue projections for FY 2019/20 are underpinned by several on-going as well as new
activities to be implemented by RRA according to its new four strategic outcomes mentioned
above which are: improved customer service, enhanced tax compliance, improved employee
engagement and development and strengthened organizational capacity.