Governments the world over depend on revenue collected from various sources to finance both recurrent and development expenditure. States routinely raise revenue through taxation of its individual citizens and companies to finance both small and mega projects. No government can function efficiently if it is starved of revenue. That is why it is imperative for governments to sensitise their citizens on the importance of paying tax so as to raise the needed revenue for development.
Granted, on occasion it becomes necessary to resort to donor aid to meet budgetary deficits or shortfalls in order to underwrite some of the more pressing projects.
Through prudent use of the factors of production— land, labour, capital and entrepreneurial skills, scarce resources can be put to use for the benefit of the citizenry. But without adequate revenue no development is possible. Economic planners must therefore, cast the net wider in order to raise revenue for development.
In some countries, governments, cognizant of how crucial taxation is, mete out very harsh penalties for tax evasion, including jail terms without the option of a fine.
We laud Kajiado County Government for having set a revenue collection target of Sh1.5 billion and their assurance that this goal is achievable, through elaborate collection enhancement. This is to be done through, among other measures, digitalization of parking fee, trade licensing, single business permits; digitalizing of signage fees, transport levies among a slew of other services. For one, digitalization will enhance service delivery besides sealing the many loopholes exploited by unscrupulous staff to engage in pilferage. We once again commend the County Government for this noble initiative.