Resource information
Property assessment for rating purposes has been practiced in Kenya for over a century. Property taxation is a major source of local authority finance though its full potential has not being realized. The revenue received from property taxes is used for provision of services to residents within a local authority’s jurisdiction Lack of realization of full potential of the property tax is blamed on inefficiencies in the local authorities as a result of poor property tax administration.
This project begins by tracing the rating system in various countries. The particular issues of property assessment for rating purposes in Kenya are looked at in detail. Generally lack of adherence to statutory valuation cycles and non- availability of funds in the local authorities for valuations and revaluations has contributed to long delays in property assessment for rating. This fact coupled with the first growing property market within the municipalities has resulted to greater disparity of the assessed values in the valuation roll and their respective current market value. This has led to problems of underassessment hence loss in land taxation revenue by the local authorities.
