CHALLENGES FACED BY LOCAL COUNCILS IN REVENUE COLLECTION IN SIERRA LEONE. (CASE STUDY- FREETOWN CITY COUNCIL)

Authors: Abdulai B. Dumbuya, Ibrahim Munu & Saidu Bah

ABSTRACT

Globally, revenue collection plays a crucial role in the growth and development of city councils and the economy at large. In a low-income country like Sierra Leone, city councils’ role is critical in further pushing the country’s socio-economic development agenda. This paper explored the challenges local councils face in revenue collection in Sierra Leone.

This study employed a case study survey design with a mixed method approach to collecting relevant data. Stratified, purposive, and simple random sampling techniques were used to reach out to the 50 respondents from the revenue department of the Freetown City Council. Data was collected through questionnaires and a face-to-face interview, and processed using Microsoft Excel application.

Data was analyzed using a descriptive analysis method, and findings were presented in tables and graphs, which showed frequencies and percentages.

The paper found that the inability to collect revenue effectively was due to poor administrative capacity to assess the revenue base, explicit and intentional revenue evasion and resistance from revenue payers, corruption, including revenue embezzlement, external pressure on the local finance department to provide optimistic projections, and political pressure on the local tax administration to relax revenue collection in some areas.

The paper therefore recommended enhancing revenue collection capacity through staff enhancement and enrichment, facilitating revenue payers with education, and establishing more accessible and transparent payment facilities to minimize revenue leakages.

Keywords: City Councils, Revenue Collection, Freetown, revenue payers

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