The Star (Nairobi)

14 January 2014

Kenya: Kakamega County Proposes Tax Collection Agency

THE Kakamega county government treasury has proposed the formation of a tax collection agency. The Kakamega Tax Collection Agency is meant to coordinate and enforce revenue collection in the county.

Part three of the County Government of Kakamega Tax Bill presented to the assembly last Wednesday establishes the self regulating agency.

It will be responsible for administration and enforcement of revenue laws by assessing, collecting and accounting for all rates, taxes, fees and charges.

The agency will be charged to advice the county treasury on administration and enforcement of revenue laws. The agency will have a five-man board of director appointed by the governor to oversee its strategic functioning.

The director shall be non-executive and only serve on the board for one three-year non renewable term. Other staff of the agency shall consist of the county chief revenue administrator, two deputy chief revenue administrator.

The three revenue administrators will be recommended to the governor for appointment by the governor.

Section 15(4) states that the executive member in charge of finance shall ensure that the three nominees he recommends for appointment by the governor are members of the Institute of Certified Public Accountants.

Section 17(2) says the directors and employees of the agency will be subject to chapter six of the constitution. The county treasury will oversee all the functions of the agency will be overseen by the county treasury.

The agency will be under obligation to submit monthly revenue collection reports to the country treasury. The county treasury will forward the same to the county executive committee for adoption before transiting the same to the county assembly.

The bills will return to the assembly this tomorrow for the second reading.

Members of the county assembly have said the taxes imposed in the bill are unrealistic and the bill could face trouble in sailing through.

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