With less than three weeks to the deadline of paying taxes in Kigali city, only 30% of the taxpayers have honoured their obligations.
Speaking to The New Times, Alphonse Nizeyimana, Kigali city vice-Mayor in charge of Finance and Economic development, said that by the end of February, only Rwf 2.1bn had been collected.
About Rwf 6bn in tax revenue was expected by the end of this month.
The taxes, with the March deadline, include property, trading licence and rental income taxes and fees on communication masts.
“We believe a large number of taxpayers in these categories will pay their taxes in the remaining weeks,” said Nizeyimana, adding that those who will not meet the March 31 deadline will be penalized.
According to the law, anyone who does not pay taxes in a specified time, faces a surcharge of 40 percent of the total tax in the first month, and 1.25 percent increment every month that passes without clearing.
“We would not want to see taxpayers paying fines, but if they don’t follow the procedures of tax payments, the law will take its course,” Nizeyimana said
He added that they will employ more tax collectors in districts to help speed up the exercise and realize the projections.
Kigali City expects to collect about Rwf 19bn in the 2010/11 financial year.