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Mr.John Kwao Dawson, Lecturer ,Sunyani Technical University, Computer Science Department has called on the government of the day to automate property tax and use as a requirement for acquisition of passport, payment of school fees , government scholarship,SIM registration and vehicle registration.
According to him,Africa’s towns and cities growth rate has outpaced the activities of the local authorities regarding management, infrastructure and financing.
This he said ,has made majority of African towns and cities to face governance crisis.
“Accordingly, the capability and capacity of urban local government to provide basic services to a growing population have entered the core of the development debate (Ayitey et al., 2013). “He added.
Mr.John Kwao further indicated that,property tax in Ghana which is popularly called Property rate is considered as the annual payment made by property owners to the local government or the Metropolitan, Municipals and District Chief Executives of their area to the Ghana Revenue Service (GRA).
Adding that,Properties under considerations are tangible real estate, houses, office buildings and properties that are rented out. The rate ranges from 0.5% to 3% of the estimated cost of the property likewise the classification of the location where the building is situated.
He deduced that,in 1988, Ghana implemented comprehensive reform in its local governance structure and adopted decentralisation as an alternative development strategy.
This strategy included political, administrative and fiscal decentralisation and aimed to promote effective and efficient governance at the local level which gave power to the local levels to collect property rate (Ayee, 2008).
Dadson et al.( 2015) in their paper titled ‘Determinants of property rate default: evidence from the Ashanti Region, Ghana’, made it clear that a lot of property owners do not pay property rate because they are not aware and those who are aware do not pay because they have no idea of where to make payment.
Accordingly (Kuusaana, 2015), in his paper ‘Property rating potentials and hurdles: what can be done to boost property rating in Ghana?’ using WA Municipality as a case study , was able to identify that the major constraint to property tax are poor Information Systems Infrastructure, non-execution of the law, political meddling, inadequate budget for routine activities, inadequate staffing and inadequate technical staffing.
According to a case study which was conducted at Offinso Municipality, It has been proven that the inability for collectors to reach a wider area as well as inadequate collection modes and poor perception of the citizenry against the collection of property rate has had adverse effect on property rate administration (Addai Boamah & Okrah, 2016).
As has been suggested by (Kuusaana, 2015), the government should go into full automation of the collection of property tax in the country. This has the advantage of allowing authorities to be able to fully account for all monies collected from the populace. Since the collection base will be widened, it will increase the revenue which will help the local authorities in carrying out their activities.
The distribution of facilities has been skewed because there is no proper view of the number of households in any locality. As such only locations endowed with prominent personalities are considered.
Automating property tax, will give the MMDCE and DCE to be able to plan very well and ensure fair distribution of facilities in their operational zones.
According to the annual crime statistics from the Ghana Police Service 2015, a total of 186,434 complaints were received.
The automation of property tax will help in identifying the occupants of every house hold in any locality which has the potential to help clamp down of people with questionable behaviour.
For example, if the receipt of the property tax is made a requirement in registering a SIM CARD, the receipt of the property rate will help identify the household the person is coming from which will allow for an easy identification of deviants in the community. To add to this, the current cybercrime activities will be curtailed since upon reporting, the telecommunication companies will be able to easily identify the locality the vice happened.
Automating property rate and making it a requirement for vehicle registration will help in easy tracking owners of vehicles in the country. Automating property tax and making it a requirement again in passport acquisition will help in easily identifying the district, the area within the district the individual is coming from based on the codes that will be proposed.
The lecturer again stated,automating property tax has the potential of helping to know the number of people living in any locality.
This is going to reduce the task of the population and housing census unit, because upon the click of a button the total number of houses in a locality is known.
To add to these, property tax automation as a requirement in sourcing for government scholarship will help in identifying the locality the applicant is applying from.
The activities of lands commission plays vital role in the proper structuring and development of any country. In view of this, the automation of property tax will help the unit in identifying occupants of unauthorized locations. This is because every location has its Global Positions System (GPS) code.
Again will help the unit to identify highly populated zone and promote research into all aspects of land ownership, tenure and the operations of the land market and the land development process.
The unit will also be able to impose and collect all levies, fees, charges for services rendered and establish and maintain a comprehensive land information system
Property tax automation will help for easy investigation of engagement made by the people in a locality.
This is feasible since, the payment of the property tax is assessed as a percentage of a property’s value. This may relate to the annual rental value of the property or its capital value.
As such high valued properties will be equivalent to the financial status of the occupants of such locality. Knowing these will help the locality if identifying the developmental needs of such an area.
“In consideration of the named views, it will be very advantageous to automate the property tax system in Ghana since it will be of immense benefit to the citizens, the District and Municipal Assemblies, the Regional Coordinating Council and the Central Government in increasing the revenue base and also properly and fairly distribute facilities.”He concluded.
Reach Mr.JOHN KWAO DAWSON
SUNYANI TECHNICAL UNIVERSITY
(COMPUTER SCIENCE DEPARTMENT) on 0249623114.
Source:Broadcastergh.com/Ayisah Foster