The Rwanda Revenue Authority (RRA) has reported a 27.7% increase in tax revenue collected during the 2025/2026 fiscal year compared to the previous financial year, attributing the growth to the country’s strong economic performance, improved tax administration, and higher levels of taxpayer compliance.
The figures were announced on July 8, 2026, during a press briefing held at the RRA headquarters. According to the authority, it collected Rwf 3,956.4 billion during the fiscal year, exceeding its revenue target of Rwf 3,795.4 billion and achieving 104.2% of its planned collection.
Ronald Niwenshuti, RRA Commissioner General said the results demonstrate the effectiveness of the authority’s long-term efforts to strengthen cooperation with taxpayers.
“Over the past ten fiscal years, the Rwanda Revenue Authority has continued to strengthen its partnership with taxpayers and other stakeholders to promote a culture of voluntary tax compliance,” Niwenshuti said.
He added that the authority has focused on helping taxpayers meet their obligations by identifying and addressing the factors that contribute to non-compliance.
“Through our tax compliance improvement programs, we work closely with taxpayers to identify the challenges that may lead to non-compliance and develop practical solutions to address them,” he said.
According to RRA, several factors contributed to the strong performance, including Rwanda’s robust economic growth, improved Value Added Tax (VAT) collection, higher corporate profits, increased taxable employment income, more efficient customs operations, and strengthened enforcement of tax laws.
During the first nine months of the 2025/2026 fiscal year, Rwanda’s economy grew by 11%, surpassing the projected growth rate of 8.1%. Commercial activity expanded by 23.7%, while the share of goods and services subject to VAT increased from 52.3% to 59.2%. Taxable income also rose by 22.9%, while taxable salaries increased by 14.6%, resulting in a 16% increase in Pay As You Earn (PAYE) tax collections.
As part of efforts to broaden the tax base, RRA registered 126,282 new taxpayers, who contributed Rwf 15.4 billion in taxes. The authority also recovered Rwf 277.1 billion in outstanding tax liabilities and conducted 1,883 tax audits, generating an additional Rwf 9.3 billion in revenue.
Public campaigns encouraging consumers to request VAT invoices, including Tengamara na TVA and Tenga Promo, continued to attract strong public participation. The number of registered participants increased from 74,964 in the previous fiscal year to 1,096,931. Through these initiatives, participants received rewards totaling Rwf 4.2 billion after requesting VAT receipts representing transactions worth Rwf 105.8 billion.
RRA also intensified efforts to combat tax fraud and smuggling. Investigations into 163 tax-related cases resulted in the assessment of Rwf 21.4 billion in taxes, while 1,542 anti-smuggling operations generated Rwf 29 billion in revenue. The authority further reported that it strengthened the use of digital technologies to detect and block fraudulent invoices, preventing illegal VAT refund claims that could have cost the government approximately Rwf 28 billion.
