Meru sets new revenue target, plans to boost collection

Meru Governor Kiraitu Murungi (right) awards Mafuko Industries Director Rasik Patel for being among the best taxpayers in Meru during a ceremony at Kinoru Stadium on December 13, 2019. Mr Patel was also hailed for his contribution to sports. PHOTO | CHARLES WANYORO | NATION MEDIA GROUP

What you need to know:

  • Meru governor says tightened tax leakages have seen taxes shoot up by 69 per cent.
  • Mr Murungi added that they had trained revenue collectors and enforcement officers to be more humane in their operations to avoid conflicts.
  • He reiterated that the county had not increased any taxes but only sealed loopholes of losses and increasing efficiency.

Meru County has set its eyes on raising its domestic revenue to Sh705 million annually in a bid to boost development and service delivery in the expansive region.

Governor Kiraitu Muringi said tightened tax leakages had seen revenue collection shoot up by 69 per cent from Sh321 million in 2017 to Sh542 million in 2018, and expressed confidence they will achieve the new targets.

Addressing residents during Tax Payers' Day celebrations held at Kinoru Stadium on Friday, Mr Murungi said they are consistently improving key towns in the county to make them more attractive to investors and create a better business environment.

The governor said the county has laid cabros in Meru, Maua, Timau, Mikunduri, Laare and Nkubu towns, and will extend the services to Kamurita, Kangeta, Kiutine and Kiguchwa markets.

TAX COLLECTION

Mr Murungi added that they have trained revenue collectors and enforcement officers to be more humane in their operations to avoid conflicts.

“I don’t believe in confiscatory, oppressive taxation which kills the goose that lays the golden eggs. We want the eggs, we also want the goose alive. We want you to handle the taxpayers well,” he said.

He announced that the county has enacted the new Finance Act that will allow the harmonisation of taxes.

Mr Murungi reiterated that the county has not increased any taxes but only sealed loopholes of losses and increased efficiency, promising that money collected in various markets would be ploughed back there.

“The government is reforming its tax systems to make it fairer and more efficient to achieve our shared vision 2040 for a better, prosperous county,” said Mr Murungi.

Deputy Governor Titus Ntuchiu, who is also the Finance executive, announced that they are reviewing land rates so as to update the valuation roll to make it consistent with current times.

LAND RATES

He said the county has the potential of realising more than the Sh49 million it collected last year from the rates in Meru, Maua, Nkubu, Timau, Laare and Mikinduri.

“Meru has a huge potential to collect more money from rates. We are using an old valuation roll. According to the law, it should be done every 10 years. This county is due for a new valuation roll. We will strive to utilise the money well,” said Mr Ntuchiu.

He said they have allocated money in the supplementary budget and will use land officials to do the work.

Mr Ntuchiu said the exercise will be subjected to public participation so as to ensure all are brought on board.

He at the same time urged the revenue department to settle on one cashless tax regime, saying to ensure they fully embraced technology to avoid leakages.

During the function, the county recognised and rewarded top and timely tax payers and collectors.