Businesses are optimistic that the use of the electronic Billing machines-EBMs is likely to streamline the operations and thus widen their profit margins.
The machines, introduced in 2013 help track Value Added tax –VAT registered taxpayers compliance but comes with advantages that owners of Businesses find it more viable towards boosting their turnovers.
“I can easily track everything that is sold from my business, when my employees steal some money I can detect it from the invoices issued from the machine,” said Judith Munyana, a trader in Mateos center in Kigali.
” I can know how each product is performing because records are kept in one place” she said on Friday during the survey done by this website on the adoption of the use of the machines.
Even Bbale Sulaiman of Rahamaan Furniture limited had to realize the importance of the billing machines after his accountant connived with Indian traders to print out invoices of the products he was not selling.
“ I found my accountant had printed invoices with iron bars when I sell furniture, this means if it wasn’t the machine, I would not have known, I will be seen as I aided these Indians to evade taxes,” he said.
For Anne Marie Nikuze, a representative of a disabled cooperative dealing crafts using the machine, its usage has helped members to track the financial transactions of the cooperative.
“At first, employees would tell us to lower prices when they have sold our products at higher price and we end up with little or even people refuse to buy our products because they are expensive,” she said.
But some businesses say that the use of electronic billing machines affects their clientele as most people are not willing to pay additional 18 percent VAT charge on the products they are purchasing while others say it hampers their service delivery.
“The nature of our business you have to be swift to serve your people well and it becomes hard with the EBM,”said John Habimana, owner of Rosty Club who was last year charged Rwf 5m for not using the machine.
Accordingly, 9,800 out of 15,578 registered VAT payers use Electronic billing machines, a challenge ahead of the tax body-Rwanda Revenue Authority that is looking at increasing domestic revenues.