Homa Bay introduces cashless tax payment

@robertomollo3

The Homa Bay government has introduced an e-tax system in efforts to fight corruption and improve revenue collection.

Governor Gladys Wanga said having a cashless method of remitting taxes is a way of reversing the trend of low revenue collection witnessed in the county.

In the cashless system, all payments will be made through Paybill number 0434343 or code number *603#.

The county chief spoke on Tuesday while addressing revenue collectors during the launch of the system at Kabunde social hall in Homa Bay town.

The Commission on Revenue Allocation has listed Homa Bay among counties that perform poorly in its own source revenue.

The county collected Sh137 million last year, which led to a negative variance of Sh887 million.

Wanga together with her deputy Oyugi Magwanga said they believe the new measure will move Homa Bay to the top in tax remittance as it targets to collect at least Sh1 billion annually.

Residents resumed paying taxes on Wednesday after enjoying a 21-day relief.

“Homa Bay has potential of generating adequate revenues that can help it pay some workers. Let’s walk collectively to ensure we reverse the trend and put the county in top 10,” Wanga said.

The governor told revenue officers to comply with the new guidelines to ensure they eliminate possible pilferage.

The officers were also given targets to gauge their performance.

The Homa Bay government will also exploit new areas where revenue has never been collected since the inception of devolution.

That includes fishing boats and boda boda riders who are said to be a large number but do not support the county by paying taxes.

The governor also asked subcounty, ward administrators and county reinforcement officers (askaris) to refrain from collecting taxes on behalf of the government.

“We’ll start the process of establishing a Revenue Board to provide strategic oversight in revenue collection as provided for under the Public Finance Management Act (2012) and the PFM County Regulations,” she said.

To ensure greater focus on revenue administration, Wanga said an internal audit committee will be formed to mitigate and monitor revenue leakage risks.

She said plans are also underway to restructure the ICT department to make it functional and responsive to the rapidly changing needs.

The county chief said they will also streamline liquor licensing processes because it is one of the major revenue streams.

Subcounty administrators and enforcement officers are the ones who have been collecting revenue from bars but it has failed to reach the county’s central account.

“Revenue officers will henceforth keep a database of all actual and potential taxpayers within their respective areas of operation,” Wanga said.

Magwanga said they want to work with the public to ensure revenue officers operate in a corruption free environment.

He warned that whoever will be found receiving cash from traders will be fired.

“There is a toll-free number where residents are allowed to report corruption incidences and cases of irregularities involving public officers,” Magwanga said.

He said all revenue will be banked in one account as they have closed a number of parallel old accounts, which were used to swindle monies.

The deputy governor said the Homa Bay government is going to establish new signatories as a way of ensuring prudent management of revenue accounts.

“We want our people to benefit from the taxes they pay. Our election was based on transformation and service delivery,” he said.

(Edited by Bilha Makokha)