Undergraduate Internship Report: Acknowledgements

Undergraduate Internship Report
ACKNOWLEDGEMENTS
In the first instance I thank the almighty God who granted me good health, kept me safe as I
went to and came from the training course.
I give my special thanks to all my family which encouraged me during my whole study and
internship. My thanks go to my father; my mummy; my uncles, my sisters and brothers.
The completion of my internship would not have been a success without joint support of a
number of people and institution besides my God to whom I owe to give thanks.
I would like to extend my heartfelt to the University of Rwanda- College of business and
economics for the value accorded to my internship program. I also thank the department of
accounting that recommended me even after providing me with theoretical knowledge that
became the basis of the practical work during internship.
I would like to thank my industrial supervisor for the times that he took to help me became
integrated with the real world by training me by about practical works that are usually carried on
at the premises of RRA. Precisely I would like to thank all members of RRA domestic tax
department more especial small and medium tax audit division, and general tax auditing unit.
My thanks also go to the management of RRA for allowing me to carry out the training in the
institution they lead. I am deeply indebted to the tax audit unit of RRA and my supervisor once
again for daily tireless efforts, courage and guidance they provided to me throughout the training.
Finally, a vote of thanks goes to my colleagues and classmates.
Thank you all, may God bless you all.
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DECLARATION
I, Esdras BAZIMAZIKI, hereby declare that, except where otherwise indicated, this document
is entirely m own work and has not been submitted in whole or in part to any other university.
Name: Esdras BAZIMAZIKI
Signature: …………………….. Date: ……… /…….. / 2015
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CERTIFICATION
I hereby certify that Esdras BAZIMAZIKI, the student at University of Rwanda-College of

Business and Economics did an industrial training in Rwanda Revenue Authority (RRA) in
Domestic tax department more especially in small and medium tax audit division and General
tax auditing unit from 22nd to 22nd June 2015 under my supervision.
Internal supervisor name:…………………………………….
Signature: ………………………………… Date: ………../ ………/ 2015
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CERTIFICATION
I hereby certify that Esdras BAZIMAZIKI, the student at University of Rwanda-College of

Business and Economics did an industrial training in Rwanda Revenue Authority (RRA) in
Domestic tax department more especially in small and medium tax audit division and General
tax auditing unit from 22nd to 22nd June 2015 under my supervision.
Academic supervisor name…………………………………………………….
Signature: ………………………………… Date: ………../ ………/ 2015
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TABLE OF CONTENTS
Contents:
ACKNOWLEDGEMENTS.......................................................................................................................i
DECLARATION.......................................................................................................................................ii
CERTIFICATION...................................................................................................................................iii
CERTIFICATION...................................................................................................................................iv
LIST OF ABBREVIATIONS..................................................................................................................ix
ABSTRACT............................................................................................................................................xiii
1. INTRODUCTION.........................................................................................................................1
1.1. General Introduction..................................................................................................................1
1.4. Description of the company........................................................................................................3
1.4.1. Historical background................................................................................................................3
1.4.2. Location of Rwanda Revenue Authority Headquarter...............................................................4
1.4.3. Interpretation of RRA new Log.................................................................................................6
1.4.4. Partners of RRA.........................................................................................................................7
1.4.5. RRA-Mission statement.............................................................................................................8
1.4.6. RRA-Vision statement...............................................................................................................8
1.4.7. Rwanda Revenue Authority core strategy values are:................................................................8
1.4.8. RRA mandate............................................................................................................................9
1.4.9. Objectives of Rwanda Revenue Authority:................................................................................9
1.5. Type of taxes collected by small and medium taxpayer’s office.................................................15
1.6. DESCRIPTION OF SMTO TAX AUDIT DIVISION................................................................17
2. JOB DESCRIPTION AND TASKS PERFORMED...................................................................23
2.1. Job description.........................................................................................................................23
2.2. Tasks performed.......................................................................................................................24
2.2.1. Task1: Checking taxpayer’s payments orders using SIGTAS and learning about RRA
operations..........................................................................................................................................24
2.2.2. Task2: Recording of data and verifying its completeness........................................................28
3. LEARNING OUTCOMES..........................................................................................................33
3.1. MY First day on the internship...................................................................................................33
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3.2. Being expected to undertake a completely new area of knowledge............................................35

3.3. The best day of internship...........................................................................................................37
4. SELF EVALUATION OF INTERNSHIP.........................................................................................39
4.1. The expectations of internship position......................................................................................39
4.2. The ways of how the expectations were met...............................................................................39
4.3. New skills acquired during the internship period........................................................................40
4.4. How the work was undertaken relevant to what i studied at school............................................40
4.5. How to rate the performance overall...........................................................................................40
4.6. The way how the internee changed as result of the internship experience..................................41
5. SELF DEVELOPMENT PLAN.........................................................................................................42
6. CONCLUSION....................................................................................................................................43
7. RECOMMENDATION.......................................................................................................................44
8. APPENDICES......................................................................................................................................46
9. REFERENCES....................................................................................................................................47
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LIST OF TABLES:
Table1: pay as you earn tax, Monthly………………………………………………18
Table2: Monthly Deductions…………………………………………………………18
Table3: personal income………………………………………………………………19
LIST OF PICTURES
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Picture1: Rwanda Revenue Authority’s Office……………………………………………7
Picture2: Rwanda Revenue Authority’s Logo ……………………………………………8
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LIST OF ABBREVIATIONS
ACCA : Association of Charted certified Accountant
BNR : National Bank of Rwanda
CG : Commissioner General
CIF : Cost Insurance Freight
CIT/PIT : Corporate Income Tax Personal Income Tax
COMESA : Common Market for Eastern and Southern Africa
CT : Consumption Tax
CPA : Certified Public Accountant
DTD : Domestic Taxes Department
DRC : Democratic Republic of Congo
GDP : Goss Domestic Product
HOD : Head of Division
IT/IS : Information technology Information system
IQS : International of Quality Standard
LTO : Large Taxpayer’s Office
MINADEF : Ministry of Defense
MINECOFIN : Ministry of Finance and Economic Planning
MNEs : Multinational Enterprises.
‘NGOs : Non NO : Number
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PAYE : Pay As You Earn
PV : Payment Voucher
RPD : Revenue Protection Department
RPS : Revenue Protection services
RRA : Rwanda Revenue Authority
SIGTAS : Standard Integrated Government Tax Administration System
SFB : School of Finance and Banking
SMTO : Small and Medium Taxpayers’ Office
Smart FMIS : Financial Management Information System
TIN : Taxpayer Identification Number
VAT : Value Added Tax
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INTERNSHIP REPORT
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ABSTRACT
The University of Rwanda-College of Business and Economics sends their students to the
internship. That internship is part of academic program that every student must undergo before
the completion of their undergraduate studies. It is mainly intended to acquaint students with the
knowledge of how work is executed at the field such that they link it with what is theoretical
studied.
The Rwanda Revenue Authority was established under law N o. 15/97 of 8th November 1997 as a
quasi-autonomous body charged with the task of assessing, collecting, and accounting for tax,
customs and other specified revenues. This is achieved through effective administration and
enforcement of the laws relating to those revenues. In addition, it is mandated to collect non tax
revenues.
The Authority is also responsible for providing advice to the government on tax policy matters
relating to revenue collections. It performs other duties in relation to tax administration, as may
be directed from time to time by the cabinet.
During my internship in Rwanda Revenue Authority, I was placed in department of Domestic tax
especial in small and medium tax audit division which has the overall mission of establishing
and maintaining efficient tax auditsystems, procedures and processes. It is aimed at contributing
to the processes of maximizing the source of revenues to the government by ensuring the
existence of efficient and effective procedures for collecting, safeguarding, auditing and
reporting of audit outcomes about the tax amount that taxpayers areowe to government. It is
responsible for the preparation and presenting RRA’s audit plan with consolidated management
planand statutory audit structure (including information about audited taxpayers and procedures
followed).
It is responsible for establishingand maintaining systems of organizing and controlling audit

group with the objective of minimizing the risk accoutered by auditors in the audit fields.
During the internship I was involved in all activities carried out in this department where my job
was to analyze the taxpayer’s transactions for every operation done and assisting auditors both in
Casmir MBONIGENA, GSF 20115098S Page xii

the office and in the fields. In the first task of my duties was to computerized the tax payers’ data
collected by auditors on the aim of checking tax evasion. In the second task my duties and
responsibility was tolearn the types and process of the tax audit as an assistant auditor.
It was in this period that I got an opportunity to link class theory to practical work and I was
able to gain a lot of in depth insight of what takes place outside classroom as stated in the
objectives of this program that are indicated in this report.
I was also able to assess the activities of Rwanda Revenue Authority as regards the development
of Rwanda through fulfilling its mission and objectives. After the assessment of the activities, it
was found that Rwanda Revenue Authority through its department of Revenue protection
Department has an opportunity ofSetting of appropriate measures to fight against some taxpayers
who delivered inappropriate document/invoice to their customers and different measures has
been suggested including: improving tax compliance (taxpayer education and taxpayers service,
addressing tax compliance and tax administrative costs), and also measures improving the
abilities to enforce tax (addressing weak enforcement at the national level and international
endeavors to strengthen national tax low enforcement) for fighting against those tax defaulter.
In addition the best solution to improve tax compliance and tax administration costs through
introduction of online service such as e-filling, e-payment and use of electronic billing
machineas it indicated in two of this report.
However I gave recommendations and suggestions regarding the way the internship can be
improved to be beneficial and effectiveboth to the University of Rwanda-college of business and
economics and RRA.
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1. INTRODUCTION
1.1. General Introduction
The internship is an indispensable program which helps the final students .Every students is
supposed to carry out the internship in he /she is related field. It contributes into the actual
activities being carried out in the field of employment upon completion of studies.
It aimed at theories learnt in the class with practices in order to understand what is done in the
field and what is taught by lecturers. A rational comparison has done to be done to find out
whether theoretical standards, rules, regulations, concepts, conventions, and procedures can
really be applied in any organization.
1.2. Objectives of internship.
1.2.1. General objectives
The internship will increase the students’ sense of responsibility. And also to develop skills and
techniques directly applicable in my career.
1.2.2. Specific objectives
 To fulfill basic requirements to complete the advocated qualification of degree in

management.
 To understand the procedures, practices and functions of the RRA, especially in SMTO.
 To get some knowledge about functions of RRA.
 To gain interpersonal skills which create a person’s growth and development.
 To give possible recommendations.
1.2.3. Objective of practical training
 To strengthen and enrich knowledge acquired especially in taxation as course and other
management courses.
 To understand procedures, practices and functions of RRA, especially in SMTO.
 To develop a business environment based knowledge and tax compliance awareness.
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 To come up with constructive recommendation about RRA functioning.
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In this report I will be focusing on things I have observed during my filed attachment period
being technical and social ones.
During my filed work I carried out different activities found in domestic tax department, in small
and medium taxpayer’s office where I was allocated. I observed many things in this organization
which were new to me and surprised me. Their coming on time to work yet they are leaving late
but that is not a purpose to Rwanda revenue authority employee to come late. And they are social
to everyone and among themselves are not only that they are hard working without their working
hours which can make some people to be discouraged but for them this is not a case.
1.3. Methodology
During the internship different methods were used in order to get the knowledge required. Some
of these methods are a follows.
 Interview method
The interview method is a conversation with a prose direct and is non-experimental in design. It
collects detailed personal information from individual using oral questions. During my internship
I used to ask this direct question to taxpayers in order to begin the audit.
 Documentation
This is a method where I used to learn through reading document and books mostly the
compilation of fiscal law and regulation governing whole tax in Rwanda, second in Tax audit
manual. All laws guide auditors in audit procedures from the interview to final report of audition.
 Observation
This method requires attention it involves human or mechanical observation of what people
actually do or what events take place during a buying or consumption situation. This method has
helped me to understand the process of audit and also help to gain knowledge and skills based on
management of cases.
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 Practical approach
In this method one is required to not only observe the work but also to get involved in
participation of activities in order to understand how they are performed and how task are
operate.
1.4. Description of the company
1.4.1. Historical background
The history of tax in Rwanda indicates that the first tax legislation was inherited from colonial
regimes. This tax legislation included the Ordinance of August 1912, which established
graduated tax to tax on real property. There was another Ordinance on 15 th November 1925
adopting and putting into application the Order issued in Belgian Congo on 1st June 1925,
establishing a profits tax.
This was amended from time to time in order to comply with the changing economic
environment. Such other legislative instruments include the 1973 law governing property tax, the
tax on license to carry out trade and professional activities, the law N o.29/91of 28th June 1991 on
sales tax. Now repealed and replaced by the law N o. 06/2001 f 20/01/2001 on the code of Value
Added Tax (VAT).
A substantive Law governing Customs was enacted on 17th July 1968 accompanying the
Ministerial Order of 27th July 1968, putting into application the Customs law.
The administration and accountability of taxes and duties in Rwanda was initially under the
Ministry of Finance and Economic planning. This was later vested into an independent body-the
Rwanda Revenue Authority-that was established by law No. 15/97 of 8th November 1997.
In 2005, the parliament adapted law No. 25/2005 of 04/12/2005 on tax procedures, amending
Decree-law of December 28, 1973 relating Personal Tax law N o. 06/2001 of January 20,2001on
the Value Added Tax and law No. 9/97 of June 26, 1997 on the code of Fiscal Procedures.
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Similarly, law No. 16/2005 of 18/08/2005 on taxes on income was adopted replacing law n o. 8/97
of 26/6/1997 on code of direct taxes on different profits and professional income, and law N o.
14/98 of December 18, 1998 establishing the Rwanda investment Promotion and Agency, the
parliament also adopted law No. 21of 18/04/2006 establishing the customs law replacing the law
of July 17th 1968 concerning he Customs as amended and completed to date.
However, on July 1, 2009, Rwanda adopted the EAC customs management Act 2004, An Act of
the community to make provisions for management and administration of Customs and for
related matters.
1.4.2.Location of Rwanda Revenue Authority Headquarter
Rwanda Revenue Authority headquarters’ office is situated at KIMIHURURA, in GASABO

district, Kigali-capital city of Rwanda toward avenue du Lake MUHAZI. Its headquarters’
offices is a large and tall building of six floors neighboring with National Electoral Commission
office at the left and Auditor General Office at the right side as you are entering from the main
gate opposite to the Prime ministry’s garden, and Ministry of Foreign Affairs buildings, and the
Ministry of Defense (MINADEF).
Here are Rwanda Revenue Authority’s contacts:
Po box 3987, Kigali-Rwanda
Hotline: 3004/3005
Telephone: + (250) 595501, 595712
Fax: + (250) 595750, 518535
E-mail: info@rra.gov.rw
Website: www.rra.gov.rw.
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Picture 1: RWANDA REVENUE AUTHORITY’S OFFICE
Source :( Rwanda Revenue Authority’s office 20140)
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1.4.3. Interpretation of RRA new Log

The structure
Source :( Rwanda Revenue Authority’s logo 2014)
This includes the shape and type of logo in a rose form. The structure symbolizes three elements:
 Unity and Equity;

 Growth and Development; and
 Prosperity.
Colors: The colors to the logo which are Green, Blue, and orange symbolize the following:
Green: Heath environment, Harmony, Growth and Prosperity;
Blue: Universal, Light, Friendly and Calm;
Orange: Essential, Sincere, Community and Strength
The change of logo shall be reflected to the change in attitude, service delivery, opportunities,
best practices and approaches of the tax administrators towards taxpayer.
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1.4.4. Partners of RRA
Rwanda Revenue Authority is keen on working collaboratively with like- minded institutions.
The lists of partners vary from Easter African’s organizations to international organizations and
Government of Rwanda’s Departments.
 Government of Ronda’s Department
Rwanda e- regulations,
Ministry of finance,
Rwanda national Police,
Rwanda Utilities Regulatory Agency,
Ministry of justice,
Rwanda Director General of Immigration and Emigration.
 International organizations partners
Department for International Development (UK)
International monetary fund
World Bank
Revenue Commissioners, Ireland
African Tax Administration Forum (ATAF)
Trade Mark East Africa (TMEA)
The investment Climate Facility for Africa (ICF Africa)
International Finance Corporation (IFC)
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 East Africa Revenue Authorities
Uganda revenue Authority
Kenya Revenue Authority
Tanzania Revenue Authority
Office Burundais des recettes.
 Other African Partner Revenue Authority

National Revenue Authority of Sierra Leone
South African Revenue Services
1.4.5. RRA-Mission statement
The mission of RRA is to mobilize revenue for economic development through efficient and
equitable services that promote business growth.
1.4.6. RRA-Vision statement
The RRA vision is “to become a world-class efficient and modern revenue agency, fully
financing national needs” respectively.
1.4.7. Rwanda Revenue Authority core strategy values are:
 Integrity
 Customer focus
 Transparency
 Teamwork
 Professional service delivery
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1.4.8. RRA mandate
The Rwanda Revenue Authority was established under law N o. 15/97 of 8th November 1997 as a
quasi-autonomous body charged with the task of assessing, collecting, and accounting for tax,
customs and other specified revenues.
This is achieved through effective administration and enforcement of the laws relating to those
revenues. In addition, it is mandated to collect non tax revenues.
The Authority is also responsible for providing advice to the government on tax policy matters
relating to revenue collections. It performs other duties in relation to tax administration, as may
be directed from time to time by the cabinet.
The Authority was established as part of the reform program by the government of Rwanda
designed to restore and strengthen the main economic institutions of the country. Additionally
the government wanted to improve its resource mobilization capacity while providing the public
with better quality and courteous services. In a bid to mobilize more resources the authority is
therefore required to assist taxpayers understanding and meeting their tax obligations thus raising
their compliance.
1.4.9. Objectives of Rwanda Revenue Authority:
 General objectives
The main objective of RRA is to finance the budget so as to empowering the government of
Rwanda in finding its essential expenditures, to finance developmental activities and alleviate
poverty in Rwandan society.
 Specific objectives
 To advice the government on tax law changes which later contributes to national
economic development.
 To reduce the flow of tax revenues to the government through effective identification of
taxpayers, assessment and correction of all taxes and duties for which authority
responsibility.
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 To fight against smuggling and tax evasion that usually happens

 To provide equitable services to taxpayers including taxpayer training hence
strengthening the culture of tax compliance among taxpayers.
 Quality objectives
The quality objectives that result from the policy described above are as follows:
 To have embedded RRA’s QMS fully across all department,

 To achieve ISO 9001: 2008 Certification for RRA HQ by 2009,
 To continually improve the standard of customer certification provided by RRA to other
government department and taxpayers,
 To have communicated the importance of RRA’s Quality management standard to all
staff,
 To fully established RRA’s QMS structures,
 To ensure that every member of RRA is aware of and conforms with the QMS as a result
of Communications work,
 Rwanda Revenue Authority aims to become certified to the international standard ISO
9001:2008 by this year 2009.
 The challenges hinder RRA from achieving the above objective
 Taxpayers are not willing to pay tax.

 Taxpayers do not know Laws regarding taxes.
 Taxpayers do not know the purpose of paying Taxes
 Taxpayers who did not comply with Tax Law are penalized and sometimes they do not
have capacity to pay those penalties
 Taxpayers do not want to be audited and sometimes they may also give wrong
information during audit process.
 During enforcement actions taken by Tax Administration some Taxpayers react
negatively especially at the time of closing Premises of Taxpayers.
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 Some Taxpayers are ignorant to the extent they do not know how to calculate their taxes
to be paid.
 ORGANIZATION STRUCTURE OF RWANDA REVENUE AUTHORITY
Source :( Rwanda Revenue Authority’s organization Structure).
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The organization structure indicates the hierarchy of administrative functions of RRA.
The RRA is governed by Board of Directors under a Board chairperson who is appointed by the
prime Minister on the recommendation of cabinet. The Board is responsible for the formulation
and implementation of the day-to-day policies of the RRA.
The RRA is headed by the Commissioner General (CG). He/she is the Chief Executive officer of
the organization and is responsible for the daily management of the authority. He/she is
appointed by Presidential Order upon approval by the senate, for a term of 5 years, renewable
once. The Commissioner General is assisted by a Deputy Commissioner General, appointed
upon approval by the Senate, by Prime Ministerial order, for a term of 5 years renewable once.
He/she is also a commissioner for Customs and Excise Department.
The Commissioner General implements fiscal policies approved by Government on the

recommendation of the Ministry of Finance and Economic Planning ,CG advises the Ministry of
Finance with respect to fiscal policies and makes recommendation on these policies, reforms,
regulation s and legislation.
 RRA Department and Attribution
RRA’s department is divided into two major categories namely:
 Operational Department
 Support Department
 Operational department
 Customs and Excise department:
This is located at MAGERWA-GIKONDO. It is headed by the commissioner for customs who

also serves as the Deputy of Commissioner General of the authority.
The custom Services Department aims to contribute to the achievement of Rwanda Revenue
Authority’s objectives by maximizing the collection of all revenues due on imports, at minimum
cost and to facilitate trade through providing a responsive and efficient service to stakeholders.
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The department works to ensure that all legally revenues are revenues are paid through effective
administration of relevant low in order to facilitated both international and national trade such
that local and foreign investment is facilitated and ensuring that local society is protected from
importation of hazardous goods.
Apart of its fiscal responsibility, Customer Services departmentis responsible for the following:
 Enforcement of customs legislation and other relevant laws;

 Facilitation of legitimate trade;
 Protection of society from illegal entry and exit of prohibited goods;
 Compilation of trade statistics for economic planning;
 Take all actions necessary to identify and combat evasion of duties and combat fraud in
its many forms
 Domestic Taxes department
The DTD was established in April 2006 in order to create one-stop, efficient and customer-
oriented tax officers. The domestic Taxes Department (DTD) is comprised of two offices i.e.
Large Taxpayers’ office (LTO) and Small and Medium taxpayers’ office (SMOT). The LTO
accounts for over 50% of total RRA revenue collections. Its main objective is to maximize
collections from Large and medium taxpayers by improving and facilitating their compliances
and widening of the tax by bringing small taxpayer from the informal sector into the tax net.
 Supporting Deportment
 Revenue Protection department
The RPD is charged with minimizing revenue losses by deterring, detecting and preventing
smuggling, tax evasion and avoidance as well as combat other tax evasion and smuggling,
collection and dissemination of intelligent pertaining to evasion of taxes and duties, investigation
of cases of tax evasion, tax fraud and smuggling, compilation of case reports and
recommendation for the prosecution of financial crimes.
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 Quality Assurance department
The QTD provides an assurance on the effectiveness and efficiency of the operating of internal
control systems as well as promoting staff integrity. It also monitors and ensures that quality
services are delivered at the least cost with minimum satisfaction to stakeholders..
 Planning and Research department
This department is responsible for coordinating the preparation of RRA corporate plan and its
ultimate monitoring and also conducts research studies and provides reliable tax information to
management, the board and other stakeholders. The department strategic objectives is compiling
and analyzing information relating to revenue data and reporting on it management and other
stakeholders.
 Legal and Board Secretariat department
The Legal and Board Secretariat Department, provides legal services in support of RRA’s
mandate in the line with corporate plan. It provides legal advice and guidance in order to
maximize revenue collection at minimum cost, to manage appeals cases and to serve as the
secretary effectively.
 Human Resource and Administration department
The aim of this department is to contribute to maximize revenue collation and quality services to
the customers and stakeholders by recruiting, retraining, and developing competent human
capital through providing the required personal and logistics support systems to other
departments.
 Information Technology department
In the line with RRA mission, the mission of the IT is to make a positive impact on the RRA’s
revenue performance and administrative efficiency, through the provision of cost-effective,
reliable and secure IT/IS systems and services.
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The strategic objective is to manage and coordinate RRA ongoing computerizations program,
always ensuring it is aligned with RRA mission, objective and priorities.
 Finance department:
It has the overall mission of establishing and maintaining efficient financial management and
accounting systems and processes. It is aimed at contributing to the processes of maximizing the
flow of revenues to the government by ensuring the existence of efficient and effective
procedures for collecting, safeguarding, accounting and reporting of government revenues and
social security fund contributions. It is responsible for the preparation and presenting RRA’s
budget together with consolidated management reports and statutory financial accounts
(including information about revenue collected and expenditure incurred); and to establish and
maintain systems of managing and controlling organizational costs with the objective
minimizing the overall costs of collection.
1.5. Type of taxes collected by small and medium taxpayer’s office
1.5.1. Taxation of value added tax (VAT)
Value added tax is charged on Taxable goods and services; taxable imported goods and services.
The amount of value added tax payable in respect of taxable goods and services or imported
goods and services is computed by applying the rate:
1° Zero percent (0%) on taxable goods or services that are zero-rated;
2° Eighteen (18%) percent for other goods and services. This rate provided by law no 06/2001 of
20/01/2001 in its article 34.
1.5.2. Withholding tax:
This tax includes the several taxes as follows:
 Income Tax Audit
This is performed when a taxpayer is subject to income tax only. Note that though
income tax has a tax rate of 30%, it has two (2) types,i.e, corporate and personal income
taxes.
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 Pay As You Earn (PAYE)
This applies to a taxpayer who is subject to PAYE only. It can be performed when issues
regarding PAYE only arise. PAYE is categorized into three (3) brackets as shown in the table
below; Monthly Taxable Income (Rwf)
Table 1: Monthly deductions.
From Tax Rate
(0-30,000 0%
30001-100,000 20%
100001And 30%
above
Table 2: Annual deductions.
Tax bands Tax rate

0-360,000 rwf 0%
360001-120,0000rwf 20%
120,0001and above…rwf 30%
1.5.3. Other withholding tax
 Corporate income tax (CIT)
This is tax paid on profit by companies based on their annual income /profit, RRA allows the
CIT to be paid in quarterly installments, and the tax rate is 30% on annual income turnover.
 Personal income tax
It is an annual personal income tax levied either on employment income, business profit or
investment income received by an individual its computation is as follow.
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Table 3: Personal income tax
Annual Taxable Income Tax Rate
From To
0 360,000 0%
360,001 1200,000 20%
1200,001 And greater than 30%
Source :( compilation of fiscal laws and regulations in use, December 2010)
1.6. DESCRIPTION OF SMTO TAX AUDIT DIVISION
1.6.1. Description of tax audit in SMTO
 Introduction to SMTO tax audit division
SMTO tax audit is a part of domestic tax department in charge of revising, checking taxpayers’
declaration and payments contain risks. In audit division we have six groups (A, B, C, D, E and
SMTO refund group) and each group is composed by four teams of two persons each. The
management of the management of the group leader and for the team is done by a team while the
whole Division is managed by a head of audit Division.
 Introduction to tax revenue audit
A tax revenue audit is a systematic and independent examination to determine whether

taxpayers’ declarations state the tax liability correctly and complying with the provisions of the
tax laws and related subsidiary legislation.
1.6.2.Audit mission
Under the supervisor of revenue auditor team leader, Revenue audit office performs office and
field audits of selected taxpayers’ accounts and provides information to tax payers to facilitate
taxcompliance.
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1.6.3. Audit objectives
Audit evidence is the proof that will enable the auditor to assess the tax compliance status of the
taxpayer. Where the taxpayer is adjudged to be non-compliant, the auditor should have
sufficient evidence to support this position. It is the evidence that must support the contents of
an audit report, including all observations and conclusions leading to recommendations.
The auditor should therefore design an appropriate methodology and approach to gather the
evidence. The methodology should be efficient and effective. An effective approach will
normally incorporate a variety of auditing tools and techniques.
1.6.4. Qualities of good auditor
 Independence
 Competence and
 Integrity
 Confidentiality
1.6.5. Audit evidence
During audit, the tax auditor is required to collect audit evidence. Evidence is the information
collected and used to provide factual basis for developing observations and concluding finally.
 Forms of audit evidence
Evidence may take a variety of forms as follows:
 Physical evidence – This is evidence obtained through inspection or observation.

 Testimonial evidence – This relates to evidence obtained through oral or written
statements in response to queries raised by the auditor. Examples include carrying out
interviews with entity staff, survey. This is one of the most common methods of
obtaining evidence.
 Documentary evidence – This is evidence obtained from review of sources such as files,
performance reports, databases, minutes of meetings, organization charts and
correspondences. Documentary evidence can also be obtained from audited entity or from
third party sources and includes both electronic and hard copy information.
 Analytical evidence – This is evidence obtained through analytical techniques such as
computations, comparisons and content analysis of quantitative data.
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 Methods for gathering evidence
Some of the methods such as interviews, surveys and observations are already covered above.
However, there are additional methods for gathering evidence as described below. The auditor
should be able to identify and select the most appropriate method for gathering evidence.
 Audit tests – A significant aspect of the auditor’s work will entail carrying out tests to
assess whether the picture presented by the taxpayer is accurate or not. Audit tests are
conducted for either compliance or substantive purposes.
Compliance testing are tests designed to assess the adequacy and effectiveness of taxpayer’s
internal control while substantive involve detailed examination of selected transactions.
Additional tests may include mathematical checking of source data; and
 Data analysis – This involves use of trend analysis for comparison purposes, examining
information from same sector to corroborate finding.
1.6.6. Types of audits
Rather than taking a “one size fits all” approach, there are a range of audit “products” to provide
a more tailored response to the risk being addressed through the audit activity. A typical range of
audit activity includes:
 Check Registrations.
This type of audit is a quick check on businesses to establish that they are correctly registered for
all their taxpaying obligations. Information from the business license office, customs, third
parties or other audit activities may alert the administration that a check is necessary.
 Advisory audits.
A visit to newly established businesses advising them of their obligations in terms of tax types,
filing of declarations, payment of amounts due, and records to be maintained may be appropriate.
This is particularly necessary when introducing new laws.
 Record keeping audits.
A check on enterprises that may have a reputation of not keeping adequate records. The visit
would point out the obligations of the taxpayer with regard to keeping of records and the
consequences of failing to do so. These audits should be followed up and penalties imposed if
the taxpayer continues to disregard record keeping requirements.
 Desk audits.
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Audits will generally require field visits; however it may be possible to undertake some basic
checks from the tax office. These can be conducted in relation to specific issue audits of a small
enterprise or employee when the auditor is confident that all necessary information can be
ascertained by conducting the examination in the office. They can also be used as a preliminary
examination of declarations, analyzing ratios and cross checking information to determine if
further investigation is warranted.
 Single issue audits.
Focusing on a single tax type, single aspect or a single period. For instance the auditor may be
only examining whether the taxpayer has met obligations in respect of employment tax, VAT, or
examining a specific expense claim.
 VAT refund audits.
Verifying the taxpayer’s right to a refund prior to processing the refund. Usually undertaken for
first refund claims as well as where the refund claim varies significantly from established
patterns and trends.
 Audit projects.
Audits can be organized as a separate project for specific groups of taxpayers. These audit
projects may cover an industry (e.g., construction) or a line of business (e.g., retail) and/ or
certain items from the declaration or profit and loss account (e.g., depreciation). They will
consist of specific checks and are used to address a particular risk or to establish the degree of
non-compliance in a particular sector.
 Comprehensive (or full) audits.
An examination of all tax obligations over a number of tax periods is preferred when major
discrepancies are uncovered during single issue audits. Comprehensive audits are usually time
consuming and therefore should only be applied to usually time consuming and therefore should
only be applied to taxpayers where there is evidence of under reporting that impacts across taxes.
 Fraud Investigations.
Involve the most serious cases of non-compliance with criminal implications. Require special
skills in investigation and evidentiary requirements as they often involve seizure of records,
taking testimonies from witnesses and preparing briefs for courtsPhase.
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1.6.7.Audit steps and process
1 - Audit case selection-Pre-
Audit activities Phase 2 -Audit planning
Phase5-reporting phase3-conducting the audit
Phase4-Audit settlement phase
 Audit planning
This is where the auditor determines whether to proceed with the examination or accept the
taxpayer’s returns as correct.
The auditor conducts risk profiling and identification and is done by screening information
relating to the taxpayer such as taxpayer’s financial statements, review of compliance records,
review of prior year tax audit report, review of the tax return preparer’s previous performance,
review of returns to detect non-compliance, review of public information.
 Conducting the audit
The audit is conducted when the auditor(s) is/are not satisfied with the information on the tax
return submitted to the tax administration and decides to carry out field audit. More information
is gathered at this stage and is substantiated with evidence.
It involves interviews, documentary checks, physical checks depending on the type of the
business, use of mark-ups, and other techniques deemed necessary for the audit. The auditor will
use materiality concept or sampling depending on the technique that is relevant for the audit.
Documentation and recording of the work is critical and therefore the auditor should ensure that
the audit evidence gathered is well documented to support the findings from the audit.
 Audit settlement phase
The Auditor(s) quantifies the undercharge in respect of tax, interest and penalties (if any) due
and invites a written offer and payment of the liabilities so quantified. This phase describes the
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process of concluding the audit and involves discussing the findings internally within RRA
before discussing the findings with the taxpayer.
Where no agreement is reached with taxpayer, first rectify2 Objectives of audit The overall
aim is to check that the correct amount of tax is declared and paid at the correct time
and by consequence to improve the compliance of taxpayers. The expectant ion by a
taxpayer of an audit should have a preventive effect and encourage the taxpayer to
declare as far as possible a credible tax return. I t also maintains the taxpayers understanding
and acceptability of the relevant taxes.
 Reporting phase
On audit finalization, the auditor(s) has/have to prepare a report in form of a rectification note
that is detailed enough for the reader to understand the issues and have a perspective on the
audited activity. The taxpayer is requested to provide their response and observations.
Once taxpayer’s observations are received, the audit team organizes a meeting with taxpayer to
discuss taxpayer’s response. Subsequently RRA issues taxpayer with a statement of audit which
summarizes the tax issues raised, outcome of discussions, agreed and non-agreed issues. The
taxpayer is required to review the statement of audit and provide their comments. The final
rectification note is then issued to the taxpayer accompanied by the assessment notices. The
report is approved by the Commissioner DTD or Deputy Commissioner(s) respectively
depending on the tax liability charged and is given/sent to the taxpayer.
It is signed by head of audit, Deputy Commissioner for LTO (or DC SMTO as case may be),
Group leader and the audit leader.
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2. JOB DESCRIPTION AND TASKS PERFORMED
2.1. Job description

My internship was conducted during the period of seven weeks starting from 13th January to 28 th
march, 2015.from the first day of my internship I had networked with several people within that
Domestic tax department more especial in small and medium tax Audit division.
I met a person in charge of Tax Manager who explained to us that our contribution to the
institution is first to enable the organization towards achieve its goals and objectives on time.
From that experience i started refilling Rwanda revenue receipts to customers who were charged
value added tax18% for those who realized VAT input, for instance as usual every government
Institution has an account in centre bank (BNR) meaning that every government Institution has
to give payment order (OP) To the Central BANK to pay that private institution who realized a
service after deducting a withholding tax (AC 3%) which immediately to the account of Rwanda
revenue authority.
And I studied how to use SIGTAS and RESW as software of Rwanda revenue used specially in
finance department and custom service department.
I have learnt also tax calculation such as pay you earn (PEYE), value added tax (vat) ,corporate
income tax(cit) ,personal income tax (pit) ,penalties, and administration tax.
2.1.1. The activities carried out in domestic tax department.
Verification of different documents which were being used with the station of Rwanda revenue
collection, by verifying whether the amounts and periods are matching with documents;
How to give the appropriate services to the customers and to fill the receipts within the proper
codes;
Verification of caution money refund to different customers to identify those who have not yet
been refund;
Verification on daily bank reconciliation statements and payment vouchers of suppliers;
Reconciliation of bank statements between the commercial banks and the national bank accounts
in central bank;
Data capturing in SIGTAS system of different accounts with different periods, data capturing in
Excel software;
Reconciling the national bank statements with Rwanda Revenue Authority cashbooks;
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Entering of daily Revenue receipts into relevant batches and posting them to cash management
batch using sage;
Preparation of cash books to reconcile the collections with the banking that correspond to each
revenue collection station.
2.2.Tasks performed
After being granted internship in RRA, I was deployed to the domestic tax department under the
small and medium audit tax division and general auditing division. The activities performed
under this department were analysis of local purchases, sales and expenditure and computerizing
the data on the aim of finding understatement and overstatement that cause tax evasion by
taxpayers.
Addition to that I was an assistant tax Audit on field where the main tasks performed were
checking taxpayers payments orders, recording of data and verifying its completeness, checking
and Verification of taxpayers invoices, journals, cash books, bank statements and contracts so as
to see its accuracy, completeness and compliance required by tax audit rules and regulations .
2.2.1. Task1: Checking taxpayer’s payments orders using SIGTAS and learning about
RRA operations.
The first main task was to enter the sales and purchases transactions in RRA system software for
the purpose of being audited as VAT outputs into the integrated system SIGTAS of RRA. This
system is operating online, where data entered are immediately seen and observed by other
authorities responsible for the system.
The system includes different transactions were done on RRA headquarter accounts by taxpayers
and how we can record data and submit them to higher authorities .Data that I used to enter into
the system was: the number of each payment order, the amount of money paid in figures and
words and the beneficiary of the payment order. After that, we had to print the hard document
showing all the above records and keeping them for audit. The system facilitates fast reporting.
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 Specific objectives.
 To understands the DTD structure of Rwanda Revenue Authority and to acquire

knowledge about how Domestic Taxes Department operates.
 To identify and analyze the contribution of Rwanda Revenue Authority in the
development of the country.
 To understand the importance and responsibility of financial statements and accounting
operations in tax administration.
 To know more about taxation policy in Rwanda and to learn how taxpayers’ documents
are kept and know how fiscal audit is done.
 To know about taxpayer registration, payment, and de-registration to taxes and to master
nature of taxes and rates are calculated on.
 To understand finance system used in Rwanda Revenue Authority.
 To discover how Rwanda Revenue Authority goes about its daily function especially in
Domestic Tax Department since myself am expecting to take part in same career.
 To acquire technical skills in as far as business finance and accounting are concerned to
become practice oriented professionals.
 To get interpersonal skills, competencies and experiences that promotes personal growth
and development in the concerned and not concerned field of specialization.
 To get familiar with working life by observing working hours.
 My responsibility
My responsibility was to ensure that all records have well entered into software the numbers of
payment orders, date, amount in figures and letters, beneficiary and checking whether they pay
on the right date. I was also responsible for making sure that its hard documents are kept away.
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 Technical Details
The task of recording data using the SIGTAS, the use of computer is a major technology that I
have accessed during my daily activity .I used to record data using high technology of internet
connection where I have realized that the use of a strong password is very important because
without knowing the password and without internet connection, nobody can access data recorded
into the system and the machine in general.
The system is automatically installed into machines of employees responsible for it .My
supervisor used to open the system, using a strong password in order to permit me to start enter
data.
 Professional skills required
This system requires scientific or professional skills that the user should have in different
lecturers at school.
I had more chance to use my skills from different courses like: Computerized accounting through
Sage Pastel software and Information Technology (IT) Skills, Knowledge, basic computer skills
like MS Word and Excel, communication skills, skills from the course Management Information
System, accounting skills.
 Problem encountered
When I was performing this task there was language problem as some people were speaking
Swahili which the intern was not proficient about both spoken, written and hearing, and
sometimes the switch off of power when I was recording data disturbed me so.
 Overcoming of the problem
Concerning to this problem, I was focusing on quickly record and save when I was entering data
before activating generator machine to light for the office. However, the intern used to contact
the senior auditor and co-workers who were well versed with the Swahili language and they
would help me in the interpretation.
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 New skills and knowledge acquired
During my internship period as students in accounting department, my purpose was not only to
practice skills and acquired from different courses, but also my second intention is to get
knowledge and skills from the host organization. Some of new acquired skills and knowledge are
as follows:
Calculation and Declaration of various taxes into software like: corporate income tax, personal
income tax, personal income tax and value added tax.
Tax audit through Rwanda revenue authority system and penalties and interests charges once
taxpayers delayed for paying taxes on their light time.
Acquisition of RRA online services like: getting advice tickets or codes for payment non-fiscal
revenues, for instance driving license permits Travel documents like visa, passport…
 Deliverables
During my internship, in collaboration with senior auditor, I was able for achieving the following
at work place:
I verified different document which were being used with the station of Rwanda Revenue
Authority by verifying whether the amounts ant periods are matching with documents;
I verified caution money refund to different customers to identify those who have not yet been
refund;
I verified daily bank reconciliation statements and payment vouchers of different taxpayers;
Data capturing in SIGTAS system of different accounts with different periods, data capturing in
Excel software;
Filling documents of the different taxpayers on the aim audition;
Assisting audit field work of different small and medium enterprises;
Assessment of the vouchers, invoices and the historical bank statement on the objective of
reconciling them and observing its completeness, accuracy and if they were amounted correctly.
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2.2.2. Task2: Recording of data and verifying its completeness
This task was carried out in the domestic tax department especially in the small and medium tax
audit division, where an internee recorded the data collected by auditors, analyze them through
SIGTAS system, the internee had to verify the hardcopies and softcopies to ensure the
consistency and completeness of the transactions made by taxpayers.
 Objective
 Keeping audit information in proper manner,
 Organizing the invoices, sales documents, bank statements and contracts according to
the PV number and dates.
 Responsibility
 Scanning the payment invoices of taxpayers which was suspect that it contained error if
any,
 Recording of data such as date, OP number, amount, and purposes using excel
 Analyze the consistency of data entered,
 Verifying the operations’ completeness,
 Filling the missing if any,
 Running the work done online
 Technical details
To perform the above task it required technical skills of using computer, scanner and speed in
typing.
 Scientific/professional skills
The scientific skills required of capturing data into the system is the knowledge about the use of
excel software, SIGTAS program and internet explorer.
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 Problem encountered
During the process of performing the work out as an internee, I met with the problem of using
scanner and running the work done online in order to permit anyone within the system to access
the work online.
 Solution design implemented
After met with such kind of problem for going on the work forward, I sought the instructions and
guidance on how to do it from the supervisor, co-workers and sometime the colleagues.
 New skills and knowledge acquired
During the process of carrying out my duties as an internee, I gained the new skills of how
running the things online, using the scanner, accessing the scanned copies into system, printing
documents, sharing information with other within the system and how to file electronically and
manually.
2.2.3. Team member on task
Department: SMTO;
During the internship period, I was supervised by the Tax Audit Group Leader and senior
Auditor with a bachelor’s Degree in Accounting.
His is help me to ensure the effective work I have done such as recording transaction, analyzing
them and putting them online system by using SIGTAS program.
Position title: Tax Audit Group Leader
Grade: 7
 Objective:
Under the supervision of the Revenue Audit Division Head, the Tax Audit Group Leader
produces a strategy to ensure.
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Taxpayer’s compliance to tax legislation by developing and monitoring all aspects of tax
registration, office and field audit programmers.
 Responsibilities:
1. Develops operational plans to ensure that returns with the best audit potential are identified
by:
(a) Preparing yearly audit and classification plans;
(b) Assisting in the design of office and field audit programmes;
(c) Assisting in the preparation of guidelines and procedures for audit and classification
programme;
(d) Assessing impact of Audit plans;
(e) Reviewing Audit plans.
2. Monitors Audit cases by:
(a) Identifying the Cases to Audit;
(b) Opening an Audit case for every tax account part of the Audit cases selected;
(c) Assigning Audit cases to Audit Officers;
(d) Reviewing Audit cases;
(e) Preparing briefs for appeal cases.
3. Monitor Audit unit performance by:
(a) Preparing plans and strategies for improving audit performance;
(b) Setting targets for field and office audits;
(c) Coaching Audit Officers in SMTO Audit practices;
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(d) Obtaining statistics on Audit cases from tax system;
(e) Determining impact of Audit;
(f) Evaluating Audit Officers performance;
(g) Assessing staff requirements of Audit section;
(h) Reporting Audit performance to Audit Supervisor and proposing revisions of Audit unit
objectives as necessary.
 Skills and abilities:
Ability to interpret and apply Financial Rules and Regulations
Ability to follow specified procedures
Ability to maintain accurate records
Ability to make mathematical calculations.
2.2.4. Co-workers Auditors
Potion title: Senior Auditors
Grade: 5
 Responsibilities
1. Performs office audits of tax accounts of individual and non individual enterprises by:
(a) Obtaining cases assigned from tax system;
(b) Obtaining taxpayers accounts details from tax system;
(c) Obtaining all relevant documents from filing Room;
(d) Reviewing account details and analyzing compliance to the tax legislation;
(e) Contacting taxpayers by phone or letter to obtain additional information;
(f) Instructing Notices of Reassessment;
(g) Recording audit cases steps in tax system;
(h) Producing audit report for audit supervisor.
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2. Performs field audits of tax accounts of individual and simple (Individual, non-
Individual) Enterprises by:
(a) Obtaining cases assigned from tax system;
(b) Obtaining taxpayers accounts details from tax system;
(c) Obtaining all relevant documents from filing ;
(d) Reviewing accounts details and analyzing compliance to the tax legislation;
(e) Meeting with taxpayers to obtain additional information;
(f) Visiting taxpayers premises to assess taxpayers compliance to tax legislation;
(g) Instructing notice of reassessment;
(h) Recording audit cases steps in tax system ;
(i) Producing audit report for audit supervisor.
3. Provides information to taxpayers to promote good public relations and improve

understanding of tax laws, regulations and procedures by:
(a) Explaining tax tables and methods of computation;
(b) Providing instructions on the use forms;
(c) Assisting in the interpretation of tax laws.
4. Supervisor and coaches the revenue auditor.
2.2.5. External inputs

During the whole internship period, I used to meet and deal with many people who were looking
for a service from offices in which I was working in. sometimes they asked me questions that I
wasn’t able to reply when co-workers were not in the office. So I was telling them to wait for my
co-workers to provide them, necessary information that they needed.
I had main co-worker who is working in refund office, she guiding me during my tasks.
It was my time to carefully hear answers, and ask him as an auditor worked in refund office
about the difficulties I had from what were askin.
Some of them were those who wanted to be paid value added tax refund and taxpayers who
wanted tax clearance certificate.
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3. LEARNING OUTCOMES.
This section is concerning with what the internee learnt during the internship course, the
improvement and the again acquired during the period of internship. So during the period of
seven weeks of internship, I gained so much from different activities carried out in Rwanda
Revenue Authority. It really was my field of study and I have been trained as I was expected.
Below are some expected outcomes of the training.
3.1. MY First day on the internship
3.1.1. Context
The first day of my internship job it was on Monday,26 th January,2015at RRA in domestic tax
department under small and medium and general auditing division was a big challenge because I
was curious to know everything that was taking place and how was being done. The place, tasks,
colleagues, and supervisor were all new to me. My supervisor was introduced me to other staff
members and also showed me the sitting place and then giving a freestyle of the tasks performed
in the domestic tax department. My supervisor and her co-workers started immediately teaching
me how to file after memorized it, I started doing it myself.
3.1.2. Role
As a newcomer in domestic tax department under the small and medium taxaudit division, I have
to introduce myself to my fellow workmates and I tried to use my techniques in order to be
familiar with the new environment. I started by observing the office and asking many questions
regarding the Domestic tax department as my confirmation letter from Rwanda Revenue
Authority stated.
After that, I was continuing doing the tasks assigned to me for instance; filling of document such
as invoices of taxpayers, declarations, bank statements, and audit notice first, DMC, audit report
and classifying them respectively.
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3.1.3. Action taken
It was a questioning time, where I was seeking to know and understanding the reality of the work
that I was required to do and communication in the work environment that would help me during
whole internship period.
I acted differently at the day because I lacked practical knowledge and skills of how the work is
performed. However as the time went by, I got a support and more explanation from my
supervisor and co-workers by showing me the way of how to relate to theories learnt with things
performed at the field.
3.1.4. Performance
The work that I performed did not differ from what other done due to training guidance acquired
from colleagues and internal trainers.
3.1.5. Guidance
I sought a deep orientation and explanation about how things are done, this was provided
throughout reading organization’s instructions, Audit Manual documents and compilation tax
rules and regulations used in Rwanda which guide tax auditor’s employees, another orientation
was provided directly from my internal supervisor.
3.1.6. Improvement
The main area of improvement at this step was improving flexibility in order to copy with
change, stress, cooperation, and communication in new working environment.
I had to improve my understanding on the work environment that made the internship occasion
very interesting. I also probable gained professional knowledge, and experience for speeding up
the work and handle difficult situation.
I went through a great improvement not only in the same operation but also in customer care and
many other things, and I got a depth practices calculations of taxes through RRA software
(RRA).
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3.1.7. Gain/Learn
It’s better to represent yourself whenever you quit one place to another and as internee had got
the information concerning with the environment in which I am conduct the internship, board
explication about what the activities carried out in RRA.
So my direct observation and guidance from the supervisor, I have got knowledge about how to
behave during the first job on the first day, how to work in teams, rotation from one office to
another, how to properly fit new position that a new employee is given and rules and guidelines
of the organization.
3.2. Being expected to undertake a completely new area of knowledge.
3.2.1. Context
The act of dealing with difficult situation was undertaken as a new area of knowledge. The tough
situation was when I was the only staying in the big public entity office while acquiring a
number of taxpayers and from their document into the software .So the connection were, it was
difficult to tell the customers to be patient because some of them didn’t know how the
connection can be poor, or lost. It was big challenge to me to explain and let them know the
problem that was happened.
3.2.2. My Role
My role was to welcome customers, checking and recording data received from them into the
system .The work became faster and easy because my intervention was very important in
Domestic Tax Department.
3.2.3. Action taken
The action taken, I have taken was to carefully explain them how the information technology
works and to seek for the assistance came from IT Department to solve that problem.
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3.2.4. Performance
My daily performance was increasing, depending on the tasks that I was performed .On that day,
the performance to quick entry of data after and faster provision of service to customers after that
the connection problem were solved by the IT officer.
3.2.5. Guidance
I soughtthe guidance from my supervisor, I learned how to perform the task and using the
software SIGTAS, this guidance has increased my performance and I acquired a sufficient
knowledge that helped me to be effective in performing the task.
3.2.6. Improvement
I improved due to the guidance that I got from the supervisor has increased my speedily of
performing in work place and has enabled me to perform easily and effectively the task.
My improvement about this situation was the better understanding of each task that I was
assigned to perform and how to improve the fastest service to our taxpayers so that at the time of
poor connection, I can myself solve such problem when it occurs in the organization or in the
future area that I will work in.
3.2.7. Gain/learn
Even if you are doing a task that is new to you, you don’t have to give up but you have to try you
best and when you meet with any difficult you have to ask over what we don’t know on it and
how is performed in order to accomplish well our tasks.
My gain was knowledge about how to be patient in a tough situation and what behavior needed
when dealing with different people with different perceptions about the issue.
This problem was also improved my knowledge about how to collaborate with co-workers once
a certain problem occurs.
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3.3. The best day of internship

3.3.1. Context
This happened when I was assisted my supervisor on audit field at DICO LTD located at
NYAMIRAMBO village. I have performed the work assigned by my supervisor quickly and
vigilantly where the owner the company he surprised regarding to my physical appearance and
on how I worked in the instance of giving him excellent service.
3.3.2. Role
I was very confident to perform my duties correctly since I was the one to take care of the work
by providing accurate information so as the analysis of the collected data is facilitated and the
audit report will be contained accurate decision because I have followed all audit procedures and
process when I was performing these tasks of audit field as I taught by my supervisor.
3.3.3. Action taken
For this occasion to assist audit field I have to perform the task independently with confidence
and all practical skills required as of my career development. I gained experience on how audit is
processed still to final report and its opportunity to me to rely what I have learnt in theories.
3.3.4. Performance
The above task has been showed me that I have to handle any task that could be assigned to me
and then I decided to be confident to tackle all tasks that were provided to me even though were
all new. Moreover, I like audit because of this work of audit where the courses like
auditing,accounting, cost accounting ,management accounting and financial accounting were put
in practices this means that all practical skills they help me to learn more and to acquire diversity
of skills and knowledge that help me to be confident when I was performing this.
3.3.5. Guidance
During that situation, I sought guidance from my supervisor who was around me and I directed
by compilation tax rules and regulations used in Rwanda, Audit manual, Types of audit tax ,audit
principles, procedures and processes.
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3.3.6. Improvement
Although I had acquired new skills in order to improve my knowledge and experience for
speeding up the work and how audit field is done. I acquire diversity collaboration with many
companies and I was gained skills how I handle different transactions from different business.
3.3.7. Gain /Learn
To perform the task that is assigned to me by supervisor this boosted my confidence and taught
me how to manage the time in my work and relationship between the organization and its
customers because when I met a serious issue that is difficult he or she shown me analytical
skills I can follow and the task enable me to be easy, then on second task I was assisted myself.
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4. SELF EVALUATION OF INTERNSHIP
My own evaluation should be based on my routine activities that I was performed as course of
action required, I used different methods when I was trying to understand task which I were
given .during my internship period I was given the opportunity to be sent at the SMTO where I
gained a lot from and contributed a lot of to the hosting entity.
I have shown professional independence throughout this period, the professional ethics and I
showed up on time, no absenteeism or delays at workplace. I had shown that the University of
Rwanda-college of business and economics has outfitted us in way that is consistent to the work
environment through hardworking spirit and independence in as far as professionalism is
concerned.
Thus, I myself confess that the internship carried out in RRA, was very awarding moment that I
believe it is the right way that student should undergo to network in business world and also
getting insight and experience through matching theories learnt in class with the practical
business running in Rwanda region, and worldwide.
4.1. The expectations of internship position
The expectations of internship position was to match the theories learnt in the all course at
university of Rwanda-college of business and economics with what happened at work
environment (activities taking place in Rwanda Revenue Authority), to be familiar with the work
environment or to get an opportunity of being hired, and I expected to know the role of RRA in
our country development and growth.
4.2. The ways of how the expectations were met
The expectations were met since I have got an opportunity to do so during my internship period
where I was performed various tasks in the department of domestic tax more especially in the
entity of small and medium tax audit unit. I have participated in the assessment of local
purchases, sales, invoices and bank statement of taxpayers, filing of document (soft copies and
hard copies), scanning and printing and assisting audit tax report preparation.
40
4.3. New skills acquired during the internship period
I acquired new skills such technical skills and new audit tax packages such as using SIGTAS
program using Scanner, Printer and Photocopy Machine which I have never learnt in the class. I
also got an opportunity to participate on the audit field work and preparation of audit report and
checking the compliance of taxpayers invoices, vouchers, sales, contracts documents and what
he or she declared online, I done this in practical way not theoretical way.
4.4.How the work was undertaken relevant to what i studied at school
The work/Tasks undertaken was not different from what I have learnt at University of Rwanda-
College of Business and Economics, as the technical terms used in the company was learnt in the
classroom even though there was some confusion at the start of the internship hence it was
relevant to what I have learnt at UR-CBE.
4.5. How to rate the performance overall
Generally my performance was extremely very fine due to the skills, experience, professional
and practical knowledge benefited during internship course. I can rate my performance overall at
95% because of the works, I have done that directly contribute to RRA in a positive way and
internship has influenced me; there is improvement in communication skills rapid typing data
into systems. Internship has increased myconfidence.
I feel possessing a lot skills as I have been assured by the work I performed during internship
period and punctuality has been improved ,internship also increased my knowledge in computer
skills where I have been taught the software which we did not learnt in class (SIGTAS and
RESW). In other domains that are not included in domestic tax department especially those
things related to procurement and how to deal with customer.
Among carrier requirements, practical experience is one of the major benefits I have taken from
this internship. With this internship, I have gained a lot of skills and experiences.
41
I put in practice the theory learnt during classes;
I discovered the new and good social environment –the professional;
I understood well terms of the structure, the background, the mission, the vision, their core
values and mainly the kind of products and services they offer;
I met my expectation at maximum because I had access to documentation and archives where.
I could read through the annual reports, strategic planning and any other document that could
provide the information I was needed of;
But as the trainee, I get not chance to have enough access in all services of Rwanda Revenue
Authority due to many circumstances such as limited time.
4.6. The way how the internee changed as result of the internship experience
The internship has completely changed my behavior such as my dressing codes due to the
environment where I could be dressing professional, and also confidence, socializing with others,
punctuality and time management have been improved.
42
5. SELF DEVELOPMENT PLAN
The self-development plan refers to the process whereby he/she takes the primary responsibilities
for his/her learning in order to improve which will help him/her achieving his/her purposes or
goals. As an accountant student, I intend to strengthen my future career as a professional
accountant.
The plan to achieve that will be in the following ways:
I would wish to undertake some courses concerning IT, to cope with the changing technology
and competition .I need also to acquire other knowledge in the practice of calculating taxes more
than I learnt in principals of taxation for example through RRA software for tax audit. This will
be achieved by consulting Rwanda Revenue Authority library in the practice related to taxes
declaration and to contact IT department in Revenue too.
The development of my future career is like that one there is some professional course such as
CPA which I’ll expect to do after completing bachelor degree.
I have a dream to pursue a master in business administration program after getting a bachelor
degree and I believe that I will get opportunity how I conduct and asses in depth the research in
the aim of scanning the frequent changing environment of today.
I decide to attend the workshop related to the accounting development programmers in different
field for additional training this will be achieving through auditing firms or other organizations
doing training of accounting packages in order to be flexible as the environment is changing
frequently.
This plan will help me to gain competitive advantage at the flied of the work and be one of the
best accountants needed in the society and all over the world in general.
It is big journey but which has to be realized in the specified period of time, this shows that to
get a business administration degree is a crucial achievement made but it is not sufficient on its
own to help someone to get a required job in any organization Without having any associated
knowledge and skills generated either from continuing studies, workshops, industrial training or
intern.
43
6. CONCLUSION
The training is of paramount importance as it helps the trainee to get the knowledge from the
field which is helpful for his future employment opportunities. It is also a stepping stone in the
fulfillment of the academic requirement for the award of a bachelor Business Administration’s
degree.
It adds to the existing literature and guides for future practices and orientations to the researchers
as well as the improvements of the organization where the training was done from. This report
reflects to what I was done during the course of internship carried at RRA more especially in the
domestic tax department. Through my learn process the report gives out the role of internship as
follows:
 To find out the degree of relevancy of the theoretical knowledge acquired in classroom to
the real practices on the field.
 To enable the student to harmonize what is learnt in class with reality on the professional
ground.
 To strengthen work values through improved understanding of the employees and the
employers.
 To gain interpersonal skills that promote personal growth and development.
 To prepare for new learning experience and susceptible to challenges.
 To discover the problems faced by the organisation and suggest possible solutions.
 Internship enhances general abilities and key qualification of student such as
communication skills, writing report, organization at work, time management and
confidence, computer skills and ability of making decision independently.
44
7. RECOMMENDATION
Irecommend students to first know the importance of choosing the company where to do their
internship and try to get more skills and competences when they are working.
7.1. To university of Rwanda-college of business and economics
 The internship period should be extended in order to allow the internee to access the all
necessary information at the work place.
 Student funds for industrial attachment should be increased and be given in time to
facilitate students doing their internship efficiently and effectively for the performance.
 The follow up from school should be taken into consideration and careful to find out the
problem facing the internees but it didn’t made.
 The career center office should make sure it obtains full information about the activities
that the students will be performing during their internship course.
 The partnership between the school and organizations should be improved.
 The students should be prepared before going to internship like being given the
information concerning the companies.
 The career centre office should make sure it obtains full information about the
organisation on the activity they perform before making recommendation for students to
go there for their internship training.
7.2. To Rwanda Revenue Authority
 Corporation between RRA and taxpayers should be improved in order to maximize the
performance results of the organization.
 Some bonuses and much help to taxpayers so as they easily understand the role of paying
tax.
 The taxpayer’s education department should contact frequent open debates over the radio
and RTV in order to educate all taxpayers.
 There is need to sensitize the taxpayers on the need to develop a voluntary taxpaying
culture.
 RRA website should be updated daily with the current information so as to equip all
stakeholders with the necessary information.
45
 RRA website should mention amount of tax that the taxpayers must pay.
 RRA should have to dispose the department in charge of education sensitization in every
sector that may be able to keep in touch with every taxpayer in Rwanda.
 RRA should impose strict measures that the taxpayers fear them and taxes as it should
be.
46
8. APPENDICES
Appendicx1: Acceptance letter of industrial training attachment
Appendix2: Students weekly Log books for seven weeks
47
9. REFERENCES
9.1. Books
1. Compilation of tax laws and regulations used in Rwanda.
3. Revised tax audit manual (2010).
4. Audit manual new July 2014.
9.2. Websites
1.www.rra.gov.rw. (2014, January14).www.rra.gov.RetrievedJune 05, 2014, from
48

Undergraduate Internship Report: Acknowledgements

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Undergraduate Internship Report

Finally, a vote of thanks goes to my colleagues and classmates.

Thank you all, may God bless you all.

Casmir MBONIGENA, GSF 20115098S Page i

Name: Esdras BAZIMAZIKI

Signature: …………………….. Date: ……… /…….. / 2015

Casmir MBONIGENA, GSF 20115098S Page ii

I hereby certify that Esdras BAZIMAZIKI, the student at University of Rwanda-College of

Internal supervisor name:…………………………………….

Signature: ………………………………… Date: ………../ ………/ 2015

Casmir MBONIGENA, GSF 20115098S Page iii

I hereby certify that Esdras BAZIMAZIKI, the student at University of Rwanda-College of

Academic supervisor name…………………………………………………….

Signature: ………………………………… Date: ………../ ………/ 2015

Casmir MBONIGENA, GSF 20115098S Page iv

Casmir MBONIGENA, GSF 20115098S Page v

3.2. Being expected to undertake a completely new area of knowledge............................................35

Casmir MBONIGENA, GSF 20115098S Page vi

Table1: pay as you earn tax, Monthly………………………………………………18

Table2: Monthly Deductions…………………………………………………………18

Table3: personal income………………………………………………………………19

Casmir MBONIGENA, GSF 20115098S Page vii

Picture1: Rwanda Revenue Authority’s Office……………………………………………7

Picture2: Rwanda Revenue Authority’s Logo ……………………………………………8

Casmir MBONIGENA, GSF 20115098S Page viii

ACCA : Association of Charted certified Accountant

BNR : National Bank of Rwanda

CIF : Cost Insurance Freight

CIT/PIT : Corporate Income Tax Personal Income Tax

COMESA : Common Market for Eastern and Southern Africa

CPA : Certified Public Accountant

DTD : Domestic Taxes Department

DRC : Democratic Republic of Congo

GDP : Goss Domestic Product

HOD : Head of Division

IT/IS : Information technology Information system

IQS : International of Quality Standard

LTO : Large Taxpayer’s Office

MINADEF : Ministry of Defense

MINECOFIN : Ministry of Finance and Economic Planning

MNEs : Multinational Enterprises.

‘NGOs : Non NO : Number

Casmir MBONIGENA, GSF 20115098S Page ix

PAYE : Pay As You Earn

RPD : Revenue Protection Department

RPS : Revenue Protection services

RRA : Rwanda Revenue Authority

SIGTAS : Standard Integrated Government Tax Administration System

SFB : School of Finance and Banking

SMTO : Small and Medium Taxpayers’ Office

Smart FMIS : Financial Management Information System

TIN : Taxpayer Identification Number

VAT : Value Added Tax

Casmir MBONIGENA, GSF 20115098S Page x

Casmir MBONIGENA, GSF 20115098S Page xi

It is responsible for establishingand maintaining systems of organizing and controlling audit

Casmir MBONIGENA, GSF 20115098S Page xii

Casmir MBONIGENA, GSF 20115098S Page xiii

1.1. General Introduction

1.2. Objectives of internship.

1.2.1. General objectives

1.2.2. Specific objectives

 To fulfill basic requirements to complete the advocated qualification of degree in