Local government leaders urged to strengthen tax administration

By George Mangula

Deputy Secretary to the Treasury Patrick Ocailap has told local government from Eastern Uganda to strengthen their revenue administration and collection measures to raise more revenue which will form part of financing sources of the budget for financial year 2021/22

Ocailap was on Monday morning representing Finance Minister Matia Kasaija in Mbale where Local Government Leaders from the districts of Kapchorwa,Kumi,Serere,Ngora,Sironko and Bukedea were meeting.

In the speech read for him by Ocailap, Kasaija further urged localgofvernments leades to embrace NDP III program approach and effectively participate in budget preparation and execution process.

On delayed payment of salary,pension and gratuity arrears Kasaija said, “ this is not acceptable,saying he has added accountability for arrears and timely payment of arrears on financial reporting to the requirements for appointment of an Accounting Officer.”

Districts present include: Kapchorwa,Kumi,Sironko,Ngora,Bukedea and Serere. He called upon LGs Leaders embrace the NDP III program approach and effectively participate in budget preparation and execution process.

Local Governments Budget Consultative workshops for financial year 2021/2022 still on-going up to Friday this week across the Country.

While addressing Local government leaders from the districts of  Kayunga,Kikuube,Mubende,Kasanda,Lugazi municipality,Makindye Sabagabo MC and Njeru MC at Ridar Hotel,Seeta on the same subject days ago,Kasaija said there was need to rethink government fiscal strategy especially on domestic revenue mobilization and improving public spending efficiency.

He said reduction in domestic revenue has led to increase in fiscal deficit by 4.9% in financial year 2018/19 to 7.2% in financial year 2019/20 and is projected to widen further to 9.8% in financial year 2020/21.

Kasaija said emergency financing needs to fight Covid -19 has led to rise in public debt.

He urged local governments to allocate resources to highest priority areas that will lead the country to achieve its growth objectives.

” Priorities include your human resource- ensure they are paid in time and also focus on infrastructure,education and health,” said the Minister.

He also urged the leaders to embrace NDPIII program approach and effectively participate in budget preparation and execution process.

Government has earmarked Shs45 trillion for the 2020/21 financial year national budget.