Effectiveness Of Management Of Outsourced Internal Revenue Collection Contracts In Local Government Authorities In Tanzania:

Abstract

This study assessed the effectiveness of management of outsourced internal revenue collection contracts in Local government Authorities, particularly the City Council of Dodoma. The study used a descriptive survey research design, and data were collected using questionnaires and interviews from the population of 41 respondents. This study used all 41 respondents since they were convenient and manageable. Descriptive statistics and content analysis were used to analyse the data. Findings indicated that the contract terms that guarantee effective revenue collection for outsourced revenue contracts at the City Council of Dodoma were well known and were effective in revenue collection since they covered associated risks in a number of ways. The findings further indicated that, to a greater extent, the outsourced revenue collector at the City Council of Dodoma adhere to contract terms. The study further revealed that the Point-of-Sale machine (PoS) was an essential and effective tool used by outsourced revenue collectors. The study concluded that the use of contract terms for outsourced revenue collectors guaranteed effective revenue collection in the City Council of Dodoma. It was further concluded from the study that the contract terms for outsourced revenue collectors at the City Council of Dodoma were friendly; that is why they adhered to them. The study recommended that online models of revenue collection and management should be strengthened by making close follow-ups to PoS operators for effective revenue collection at the City Council of Dodoma.