Waived penalties and fines were accrued from PAYE (Pay As You Earn), VAT, and WHT (withholding tax) and corporate income tax of 2019.
The Minister of Finance and Economic Planning, Dr. Uzziel Ndagijimana has announced that penalties, fines and interest accrued from late payment of some taxes for the period of March, April and May have been waived.
The waived penalties and fines for the three months equal to a total of Rwf5, 051, 140, 040. The waiver concerns taxpayers who did not manage to pay on time due to hardships posed by Covid-19 pandemic.
Waived penalties and fines were accrued from PAYE (Pay As You Earn), VAT (Value Added Taxes), and WHT (Withholding Tax) and Corporate Income Tax of 2019.
The Ministry of Finance and Economic Planning has delegated the power to waive penalties and late payment interests for taxpayers by the Cabinet and was emphasized by recommendations of the Tax Policy Committee meeting that was held on July 3, 2020.
The statement signed by Minister Ndagijimana states that the list of such taxpayers who could not pay taxes on time in March, April and May and were requesting the waiver, was submitted to the ministry in July.
The taxpayers were affected by the Covid-19 lockdown that was posted in March and led to the shutting down of businesses and left only essential services in operation.
However, the statement notes that after September 30, 2020, taxpayers who will not have paid the principal tax in full will be liable to interests applied to the unpaid principal amount, effective October 1, 2020.
Culled from Newtimes
