A Study On Role Of Municipality In Tax Collection And Administration In Sira Town

Abstract

Municipal taxation plays a crucial role in strengthening local governance and ensuring effective delivery of public services. The present study, titled “A Study on the Role of Municipality in Tax Collection and Administration in Sira Town,” examines the efficiency, challenges, and administrative practices involved in municipal tax collection. The research highlights the importance of taxation as a primary source of revenue for municipalities to carry out developmental and welfare functions such as sanitation, infrastructure, water supply, and public health.

The study is based on both primary and secondary data. Primary data were collected through structured interviews with 50 respondents, including municipal officials, elected representatives, and tax department personnel, using purposive sampling. Secondary data were gathered from official records, articles, books, and online sources. The findings indicate that while the municipality makes systematic efforts to mobilize revenue, challenges such as limited taxpayer awareness, administrative constraints, and collection inefficiencies affect overall performance. The research concludes that improving administrative efficiency, strengthening tax databases, enhancing transparency, and conducting taxpayer awareness programs can significantly improve revenue collection. The study emphasizes that effective municipal tax administration is essential for financial sustainability and for providing quality public services to residents of Sira Town.