These taxes must be declared and paid by 31 December 2025.
Commissioner for Domestic Taxes, Batamuliza Hajara, said that as the festive season approaches, taxpayers are encouraged to fulfill their obligations early to avoid potential technological disruptions in the final days, which could result in penalties for late declaration and payment.
'We want to enhance our self-reliance. We encourage everyone to pay all their taxes early so that they can enjoy the festive season with peace of mind, without any tax-related concerns. Christmas is near, and taxpayers are advised to settle their obligations in advance so that they can enter the holidays owing nothing to the public treasury,' she said.
Property tax
Commissioner Batamuliza noted that from the beginning of the year, a system was open to immovable property tax declarations and payments, either in full or in quarterly installments, depending on their capacity, while knowing in advance the total amount due.
'Since there are mechanisms that allow early declaration and gradual payment, there should be no reason for anyone to delay to the point of being penalized,' she added.
Property tax is calculated based on the location and use of the property.
According to the law governing sources of revenue for decentralized entities, when a property consists of land with a building, the tax is levied on the market value of both the building and the related plot. For undeveloped land, the tax is based solely on the land's surface area.
The tax rate is determined annually by the District Council or the City of Kigali, depending on the property's location and use, but it must not exceed FRW 80 per square meter.
Residential buildings and their plots are taxed at 0.5% of their market value; properties used for commercial purposes are taxed at 0.3%; while those used for industrial purposes or belonging to micro and small enterprises are taxed at 0.1%.
Multi-Storey residential buildings receive special consideration to encourage efficient land use. A residential building with up to three storeys is taxed at 0.25% of its market value, while those exceeding three storeys are taxed at 0.1%.
Properties exempt from immovable property tax include one building designated by the owner as their primary residence, along with its annexes located on a residential plot for a single household. The building remains considered the owner's primary residence even if it is not occupied for various reasons; however, the land on which it is built remains taxable.
Commissioner Batamuliza clarified that if a property has already been taxed during the year of purchase, it is not taxed again, since taxation is levied on the property itself, not on the individual.
'As of this evening, we had surpassed 70% of declarations. Some taxpayers have declared but not yet paid, which is understandable. However, our message is directed to those who have neither declared nor paid, reminding them that the deadline is 31 December,' she added.
Road maintenance levy
Vehicle owners are also reminded to declare and pay the motor vehicle road maintenance levy.
The law determining this tax was published in the Official Gazette on 29 May 2025. For the current year, the levy is applied on a pro rata basis for the remaining months following the publication of the law.
The levy is set as follows: cars and jeeps â€" FRW 50,000; pick-ups, microbuses, minibuses, and buses â€" FRW 100,000; trucks and small trailers â€" FRW 120,000; and large trailers â€" FRW 150,000.
Exempted vehicles include those owned by the Government of Rwanda, diplomatic missions, and international organizations that have agreements with the Republic of Rwanda.
'These amounts may seem small, but they make a meaningful contribution to road maintenance. We remind vehicle owners to pay early, because delays may result in penalties that can be almost equal to the tax itself,' Commissioner Batamuliza said.
Third income tax quarterly prepayment
Time is running out for taxpayers required to make third-quarter income tax prepayments.
This covers sales made in July, August, and September 2025. The quarterly prepayment tax is calculated from tax paid for the previous annual tax period divided by the turnover of the same tax period, times the current quarterly turnover.
'This is designed to make it easier for taxpayers. For example, if the total annual income tax due is around FRW 200 million, quarterly prepayments mean that by the end of the year, a taxpayer may have already paid half or more of the total amount, leaving only the balance to be settled,' Batamuliza explained.
'It is a facilitative mechanism and a legal right for taxpayers. Beyond supporting taxpayers, it also enables the government to fulfill its obligations in a timely manner.'
Declaration of the motor vehicle levy and immovable property tax can be done through the RRA website or by dialing *800#. The third quarterly prepayment tax is declared through the RRA website via the E-Tax system.
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