We reported yesterday of the growing concern about tax evasion uncovered in the Eastern Province.
Rwanda is aspiring for full economic reliance by laying concrete mechanisms that will enable the citizens to fully fund the country’s budgets. Needless to say, the biggest source of domestic revenue is taxes.
It is, therefore, disturbing to learn that many traders continue to evade taxes by, among others, smuggling goods through the borders, especially in the Eastern Province.
Paying taxes is an obligation, not a favour to your country. Although domestic revenues have seen a steady rise over the last 16 years (now funds over 50 percent of the national budget), we can do much better, even with the current tax base, if taxes were paid accordingly.
Rwanda Revenue Authority (RRA) and other stakeholders must devise a more effective tax collection mechanism. Local leaders and the media have a key role to play in sensitizing the population.
The taxpayers must fully honour their obligations with regard to paying taxes. When taxes are paid accordingly, it’s the general population that stands to benefit.
More roads, hospitals and schools will be constructed; electricity and clean water will be extended to more families; that is what development is all about.