Internal income of local governments in Jumla shrinks

Jumla- The 61st annual report of the Office of Auditor General has revealed that internal sources of income of eight local governments, including seven rural municipalities in Jumla have decreased.

According to the report, Chandannath, the only municipality in the district, had estimated annual income of Rs 25 million in the fiscal year 2079/80 BS but could only raise Rs 12 million. The municipality collected the amount from taxes, service charges, business, vehicles, integrated property, house and land rental services and land map pass under various headings.

Tila rural municipality has earned Rs 1.89 million internal income. According to section 58 of the Local Government Operation Act, 2074 BS, the municipality has the authority to collect business tax from entrepreneurs within its jurisdiction, but Tila has not been able to collect any tax.

Similarly, Sinja rural municipality had generated Rs 1.34 million in the last fiscal year. Chief Administrative Officer of Tatopani rural municipality Tirtha Bahadur Kathayat shared internal income has increased by Rs 3.099 million or 54.99 percent than the estimated amount in the same fiscal year.

Likewise, Guthichaur rural municipality raised Rs 1.86 million, Hima rural municipality Rs 1.65 million and Kanaka Sundari rural municipality Rs 1.825 million. Nar Rokaya, a local of Tila rural municipality, said the local governments in the district have not paid any attention to the collection of income despite a legal provision that the local levels can collect nine different types of taxes.

Due to shrinking revenue generation capacity, the local governments here have to depend on grants from the federal and provincial governments.