In 2010 local governments collected $1.4 trillion in general revenue.  Around 40 percent of that revenue came from transfers from federal and state government, and the rest came from local taxes, fees, and miscellaneous receipts (Tax Policy Center).   

Tax season is “the time period between January 1 and April 15 of each year in which individuals traditionally prepare the previous year's financial statements and reports.”   So in honor of this I am writing this post to show how local governments are finding efficient ways to collect their taxes and developing innovative ways to increase their tax base.

• The County of Catawba, North Carolina, promoted innovation by using LEAN management techniques to maximize efficiency in tax collection.
• Read about this RAMP UP-West initiative where an Afghan City used computerized property registration to increase efficiency in their tax collection system.  
• The City of Delray Beach, Florida, enacted the Economic Development Fund to increase their tax base. 
• This article from Government Technology shows how this local government is using bar codes to help improve its services.
• This PM Magazine article explains how local government can use the New Market Tax Credit program to fund projects that may have been overlooked. These projects could lead to a boost in tax revenue for the local government.
• Check out how the City of Hamilton, Ohio, developed a new tax incentive to spur investment.

Does your community have an innovative way to collect or increase your local tax base? Please post comments below.

Douglas Shontz

Knowledge Network Intern