Question: What can I do if I am having trouble paying my taxes while my business suffers during COVID-19? I was supposed to pay by 31st March, but I can’t!
Answer: Do not fear! The Government of Rwanda is taking action to help small and medium businesses right now. The Rwanda Revenue Authority is offering most services online – to keep you safe, and to keep you from having to move during a time when it is important to stay at home.
Go to https://www.rra.gov.rw/ to learn more and to request support for your small business.
Here is what else you need to know:
- As of March 18, tax audits are on hold for at least 30 days, unless your business has a desk audit that was previously planned.
- Small and medium businesses are now allowed a VAT refund. This means that VAT, which is normally charged to businesses on small and medium businesses, will be refunded to help with cash flow.
- Before COVID-19, the date for financial statements certification was March 31st, 2020. At this time, given what is known about the virus and current lockdown, these statements will be required on May 31st, 2020.
- The deadline for “small and medium-sized taxpayers” to file their taxes has been extended by one month. These taxpayers will be expected to file the tax returns and pay the amount of corporate income tax by 30 April 2020.
The Government will give more guidance in May, when we all know more about the global pandemic, and how it will affect small and medium businesses here in Rwanda. But be assured that the Government is doing all possible to be sure that businesses have ways in which to deal with taxes in a way that is logical when many have had to shut in order to keep everyone safe.
Be Safe! Make sure you find out about the benefits to your small or medium business when it comes to taxes, to help you keep your business afloat during these difficult times. And stay healthy!
Reference:
Ministry of Trade and Industry: COVID-19 Impact to Trade & Industry: A Recap of Government Mitigation to Businesses. 21st April 2020.