Assessing Local Good Governance in the Ethiopian Federal System: The Case of Addis Ketema Sub-City Small Taxpayers Branch Office, Addis Ababa

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Date

2024-06

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Addis Ababa University

Abstract

The main aim of this study is to assess local good governance in Addis Ketema Sub-City particularly in the Sub city’s Small Taxpayers Office. The study has attempted to evaluate the prevalence of local good governance and to identify the major challenges in Addis Ketema Sub City Small Taxpayers Branch Office, and whether the federal system has helped the practice of good governance in the study area was also explored. The study has used survey method and the total of 330 samples from both category ‘A’ and category ’B’ taxpayers were assessed. Stratified proportional sampling method was employed to determine the taxpayer‘s sample. Interviews were conducted for 10 employees of the office. Mixed research approach with a descriptive design was used in this research. Data was collected from both primary and secondary sources. Questionnaire and interviews were the main sources of the primary data. To analyze the quantitative data collected the SPSS software version 26 was utilized. The simple statistical methods including frequency percentages and means, were also employed. While the content analysis approach was employed to narrate the qualitative data. Generally, despite the claims of the organization, based on the five principles of good governance, good governance has not been effectively executed in Addis Ketema Sub city Small Taxpayers Branch Office. The findings of the study revealed that the level of transparency is not satisfactory in the organization, there is poor accountability, the level of customer’s participation in the office is not enough, responsive service delivery is not ensured, and customer’s interest is not fulfilled by the process of service delivery in the office. Frequent interruption of the internet system, employee’s different way of understanding and interpreting tax rules, the taxpayers’ low level of knowledge and understanding on the tax rules and proclamations were among the main challenges of good governance in the organization. Recommendations to enhance good governance and to tackle the challenges in the organization were stated in the study.

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Keywords

Good Governance, local good governance, principles of good governance, taxpayers, decentralization, challenges of good governance

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