FAQs – Taxation in Rwanda

The standard rate is 30%, but it can be reduced for companies operating in priority sectors or those with investment certificates.

Yes, if your annual turnover exceeds RWF 20 million, VAT registration is mandatory.

You need to obtain an Investment Certificate from RDB and align your project with national priority sectors.

Capital goods such as machinery, equipment, and raw materials used in qualifying investment projects are typically exempt.

Yes. Certified investors may enjoy corporate tax holidays for up to 7 years depending on the sector and investment size.

Pay As You Earn (PAYE) is a monthly income tax deducted from employee salaries. It must be filed and paid by the 15th of each month.

All returns are submitted electronically via the RRA e-Tax portal.

No. Capital gains are considered part of overall corporate income and taxed accordingly.

Penalties include RWF 100,000 minimum fines, interest on unpaid amounts, and possible restrictions on tax clearance certificates.

Yes. Rwanda allows free repatriation of capital, profits, and dividends.

Absolutely. Sokrab provides tax registration, compliance, incentive application, and filing support.

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