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Institutions face quite a number of challenges during internal controls in performance like struggles with liquidity problems, reports are not made timely, accountability for the resources is still wanting, frauds and misuse of institutional resources. This study is facing with a challenge of not performing well considering the uniqueness of every organization. This study had a general objective of assessing the effect of internal audit on performance of an organization. The specific objectives are: to identify the internal audit practices used in Compassion Rwanda byimana parish, to asses the level of performance of Compassion Rwanda byimana parish, and To assess relationship between internal audit and the performance of Compassion Rwanda byimana parish. This study was carried out in compassion Rwanda Byimana parish, on population of 15 employees, who are at the same time the respondent. Data were collected using questionnaire, and interpreted using tables from SPSS version 16. Findings show that: 100% of the respondents strongly agree that they have a strong internal audit.