Kigali, Rwanda’s bustling capital, has recently been under scrutiny for tax evasion practices. According to reports from the Office of the Ombudsman and Transparency International Rwanda, there has been a significant rise in tax evasion cases, particularly among businesses and high-net-worth individuals.
One notable case involved Celestin Bimenyimana, Thelesphore Ntazinda, and Jean Claude Mbarushimana. These individuals were accused of smuggling and selling 270 tonnes of rice while forging customs documents to evade taxes amounting to Rwf62 million. The trio’s actions not only defrauded the government but also undermined the integrity of the tax system.
Hon. Nirere Madeleine, the Chief Ombudsman, and Ingabire Marie Immaculée, the Chairperson of Transparency International Rwanda, have been instrumental in bringing these issues to light. They have emphasized the need for stronger enforcement mechanisms and better public awareness about the importance of tax compliance.
Additionally, Richard Tusabe, Commissioner General of the Rwanda Revenue Authority, highlighted the negative impact of tax evasion on the Rwandan economy. “Tax evasion not only deprives the government of essential revenue but also hinders development projects and social services that are crucial for the well-being of our citizens,” Tusabe said. “We need to create a culture of tax compliance to ensure sustainable economic growth.”
In response, the Rwandan government has committed to aligning with global tax compliance standards set by the Global Forum on Transparency and Exchange of Information for Tax Purposes. This includes implementing the Exchange of Information on Request (EOIR) and Automatic Exchange of Information (AEOI) standards. T
he government believes these measures will not only curb tax evasion but also attract more foreign investment by positioning Kigali as a transparent and reliable financial hub.
The fight against tax evasion in Kigali is ongoing, with both the Ombudsman’s office and Transparency International Rwanda playing crucial roles in ensuring that businesses and individuals adhere to tax laws. The hope is that these efforts will lead to a more equitable and prosperous society for all Rwandans.
