Kampala, Uganda | THE INDEPENDENT | Soroti district local government and Municipality are struggling to raise local revenue for the development of their respective administrative units.
Both administrative units have only realised less than half of the local revenue estimates for the 2019/2020 Financial Year.
The situation is more worrying as some local governments haven’t received central government releases for some of their planned activities.
Emmanuel Okaja, the Soroti Municipality deputy town clerk, says they have collected only Shillings 137 million representing 25.8% in the last two quarters compared to the expected Shillings 600.
He says that the municipality is now dependent on central government releases, that he observes sometimes delay.
Henry Damba, the Soroti Chief Administrative Officer, says the local revenue sources are dwindling with the growing number of people avoiding taxes.
He revealed that they have only raised less than Shillings 300 million out of the estimated Shillings 800 million from local revenue in the first two quarters.
He explains that as local revenue dwindles, some central government transfers have also delayed, making work at the district difficult.
However, residents in Soroti town fault the local governments for failing to mobilize and manage local revenue collection in their respective units.
Julius Oculi, the Chairman Soroti boda-boda Association wants the authorities to provide a conducive environment for revenue collection.
He explains that while a number of people trek to town for business, the urban authorities chase them instead of providing space for their businesses.
Silas Imalingat, an elder in Soroti Municipality attributes the dwindling revenue collection to misuse of revenue at source and discrimination in the assessment of businesses.
He revealed that some businessmen especially government employees and their accomplices evade taxes, leaving the tax burden to a few businesses in town.
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