Post-Clearance audit and customs revenue collection: a case study of Namanga border station

Loading...
Thumbnail Image

Date

2019

Authors

Mwaniki, Kennedy Mwangi

Journal Title

Journal ISSN

Volume Title

Publisher

KESRA/JKUAT - Unpublished research project

Abstract

Post-clearance audit (PCA) is the verification, review or audit of customs declarations through the examination of books, records, systems or other documentation held by traders or their agents after the goods have been ―released‖ from customs control. It is a key control methodology to facilitate the movement of goods through a risk-based selection process that moves border management organizations from a purely transaction-based process to an audit based approach. The study aimed to find out the effect of Post Audit Clearance on Customs revenue collection at Namanga border station, Kenya. The study was guided by the following specific objectives:- to determine the effect of selection of audit cases on the customs revenue collection in in Customs and Border Control Department at Namanga border station, to find out the effect of audit visits on the customs revenue collection in Customs and Border Control Department, Namanga station and to assess the effect of pre arrival clearance on Customs revenue collection at Namanga border station.The study adopted descriptive research design. The study target population was 350 Clearing Agents and KRA Staff. The study sample size was 35. This study used primary data collected through questionnaires. A pre-test on a different sample was carried out to give a Cronbach‘s alpha greater than 0.7 for all the variables as a rule of thumb. Data analysis was done by use of descriptive statistics and inferential statistics using Standard statistical techniques including Pearson correlation coefficient and regression analysis employed in the analysis. All the analysis was done using the statistical package for social sciences (SPSS Version.24). Analysis of variance (ANOVA) used to establish if there is a statistical significance between the observed and expected values with the Pearson Chi square giving the degree significance of the relations, hence establishing the hypotheses. The study found out that selection of audit cases, audit visits and pre-arrival clearance had a significant positive effect on customs revenue collection. Based on the findings, this study therefore recommends that the management of the customs department should ensure that the post clearance audit procedures are followed to the letter, the government of Kenya should formulate more policies to support and govern customs audit visits. This study further recommends that more policies should be formulated to govern pre-arrival clearance of goods imported from other countries

Description

Keywords

Post-clearance Audit, Revenue Collection

Citation

Collections