adminWalter Nyamukondiwa Chinhoyi Bureau
Rural District Councils say the delay in disbursing their share of unit tax collected from farmers has crippled their operations. Cabinet recently directed that the Ministry of Lands and Rural Resettlement should collect unit tax for land use from farmers, which was previously under the purview of RDCs.
Association of Rural District Councils of Zimbabwe secretary-general Mr Rodgers Mozhantey, said at a workshop in Kariba recently that the tax and other fees contributed about 60 percent of revenue for rural councils.
“We have a situation where 60 percent of revenue for rural district councils has been affected by the decision to give responsibility of collecting unit tax to the Ministry of Lands and Rural Resettlement,” said Mr Mozhantey.
Beneficiaries of land reform are supposed to pay $5 per every hectare.
Of that amount, the ministry gets $3 while $2 goes to RDCs.
The money first goes to the Consolidated Revenue Fund before it is disbursed to RDCs.
Principal director for RDCs in the Ministry of Local Government, Public Works and National Housing Mr Christopher Shumba, said the money would eventually come.
The decision to give the responsibility to Ministry of Lands (and Rural Resettlement) was prudent in my view because they are better placed to take punitive action like revoking the offer letter when someone fails to pay the unit tax, said Mr Shumba.
The money that RDCs are talking about will eventually come.
The Ministry of Lands and Rural Resettlement started collecting the money in July and RDCs say they have not received anything so far.
Mr Shumba said the matter would be looked into. Some councils say were several months in salary arrears as a result depressed revenue.
Treasurers and Internal Auditors from the 60 RDCs were gathered in Kariba for the 11th Treasurers and Internal Auditors Conference, which sought to enhance the revenue collection and management processes.
Online Reporter