EFFECT OF INTERNAL CONTROL ON REVENUE COLLECTION IN KINTAMPO MUNICIPAL ASSEMBLY

ABSTRACT Revenue Generation has received significant public and regulators attention in the Metropolitan, Municipal and District Assemblies in Ghana and the internal control has been identified as the most effective control mechanism that provides support in the revenue collection, eliminating income and resource loss, identifying and preventing fraud. This study was set to achieve three objectives namely; to assess the effect of controls activities on revenue collection, to examine the influence of control environment on revenue collection and to analyse how information and communication affect revenue collection in Kintampo Municipal Assembly. To achieve these objectives the researcher employed quantitative approaches. Questionnaires were used on a population of 63 respondents in gathering primary data for the study. The data collected was analysed by the use of SPSS version 20. The statistical data analysis tools used were; descriptive statistic, inferential statistic and test statistics. The findings revealed that internal controls had a significant influence on revenue collection in Kintampo Municipal Assembly. The study therefore, concludes that internal controls do function although with hiccups and that there is a significant effect between internal controls and revenue collection in Kintampo Municipal Assembly. The study recommends that major functional areas that are directly or indirectly related to revenue mobilization in the Assembly should be covered with explicit policies that are known by employees who will be affected by them. Management as a matter of policy should redesign internal control system that aimed at ensuring efficiency and effectiveness of operations, reliability of financial reporting and compliance with applicable laws and regulations.