New land tax rates in Kigali come into effect #rwanda #RwOT

The announcement follows concerns from some residents who, upon attempting to pay their land taxes for the year, discovered that rates had increased. Many were unaware of these changes. The land tax rate is now set at Rwf 80 Rwandan Francs per square meter, a significant rise from the previous rate.

In response, the City of Kigali clarified via its official social media platforms that the new rates were approved by the Kigali City Council on February 21, 2025, and are now being enforced.

'These rates replaced those that were last approved by the District Councils in 2017â€"2018, which had continued to be applied until the end of 2024,' the City of Kigali explained.

The City further stated that, once finalised, the new tax rates were communicated to the public through multiple channels, including the media, social networks, and online platforms.

The new rates were established based on a Ministerial Order issued by the Ministry of Finance and Economic Planning, which outlines base tax rates for land. Published on November 28, 2023, the order specifies that land tax can range from 0 to 80 Rwandan francs per square meter. Land within Kigali's Central Business District (CBD), which includes major business and industrial areas, will have tax rates between Rwf 70 and Rwf 80 per square meter. These rates apply to commercial, industrial, and non-residential areas, while residential areas within the CBD are taxed between Rwf 60 and Rwf 80 per square meter.

In less urbanized parts of Kigali, residential areas are taxed between Rwf 40 and Rwf 60 per square meter, and non-residential areas such as business or industrial zones are taxed between Rwf 50 and Rwf 70 per square meter. Agricultural and livestock zones, which are more rural, are taxed between 0 and 0.4 Rwandan francs per square meter.

In areas that have a mix of urban and rural features, such as small business centers or locations with basic infrastructure, residential areas are taxed between Rwf 10 and Rwf 40 per square meter, while non-residential areas such as business and industrial properties are taxed between Rwf 20 and Rwf 50 per square meter.

Finally, rural agricultural zones located between urban and rural areas of Kigali will continue to be taxed between 0 and 0.4 francs per square meter.

The City of Kigali has confirmed that new land tax rates for residents took effect in 2026, replacing the rates that had been in place for the past seven years.

IGIHE

Source : https://en.igihe.com/business-62/article/new-land-tax-rates-in-kigali-come-into-effect