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“The introduction of online tax payment will solve many problems such as removing long queues in our offices and also the burden of taxpayers spending more time and money in the process of filing tax returns,” said Mukubu.

He said two pilot projects will begin with the e filling in November and the e payment will follow in December.

He said online filling and payment system will also make it easier for taxpayers to maintain their tax and payment records for a long period. The system has only five steps; the taxpayer will have to view an online tax return, fill it and confirm the correctness of the return and then submit it to RRA.

Then he/she will have to select the bank for e-payment and immediately a payment receipt proof and reference identity number will be issued as confirmation of payment.

To fulfill their goal to ensure Rwandan citizenry are tax compliant the Rwanda Revenue Authority (RRA) is streamlining it’s tax system to facilitate what it termed Business growth.

“We at RRA are moving faster to reduce the cost of paying taxes by introducing various initiatives like eE-tax services,” Mukubu noted.

RRA Statistics show that 2010/2011,the tax body collected Rwf 491 billion($800m) against Rwf 395.8 billion($660m) 2009/2010.

Although there is improvement in tax collection, Rwanda Tax Officials say 75,000 People are involved in business yet only 25,000 are registered taxpayers with some declaring nill.

Source: allafrica news