A KCB branch in the Southern province of Rwanda. A new law has set the amount of income tax company subsidiaries can remit to their mother companies. PHOTO | CYRIL NDEGEYA | NMG
Rwanda's decision to cap the amount of fees subsidiaries can pay to their mother companies could have far-reaching effects on technology and intellectual property-driven businesses.
A provision in the new income tax law which came into force in April caps management, royalty and technical fees local companies pay to their related non-resident companies at two per cent of the turnover.
