WOLATIA SODO UNIVERSITY

COLLAGE OF BUSINESS AND ECONOMICS

DEPARTMENT OF ECONOMICS

INTERNSHIP REPORT
ON
SELAMBER TOWN REVENUE AUTHORITY BRANCH OFFICE

INTERNSHIP REPORT PAPER SUBMITTED TO DEPARTMENT OF

ECONOMICS IN PARTIAL FULFILLMENT OF THE REQUIREMENT FOR BA
DEGREE IN ECONOMICS

REPORTED BY: TIMOTHIOS SHEWA

ID.NO:-ECO/WE/372/12

MAY, 2024
WOLATIA SODO, ETHIOPIA
ACKNOWLEDGMENT

Above all, I give praise to God through which all my endeavours have been done and will be
done in the future too.
Secondly, I would like to thank Wolaita Sodo University for giving me the opportunity to do
this internship.
Thirdly, I would like thank of a Selamber woreda Rvenue Authority Branch office for letting
me do the internship at their office. I’d like to thank Mr____________________, my
internship supervisor for guiding me with the completion of this report.
EXECUTIVE SUMMARY
This internship report provides an overview of my experience at the Selamber Town Revenue
Authority Branch Office. The internship took place from start date to end date. The purpose
of the report is to summarize the key activities, observations, and lessons learned during the
internship period. The main objectives of the internship were, Gain practical knowledge and
experience in the field of revenue management and administration, understand the operations
and responsibilities of the Selamber Town Revenue Authority Branch Office, Contribute to
the office's daily tasks and projects and Develop professional skills and enhance my
understanding of the revenue collection process. Activities and Observations were During the
internship, I was involved in various activities and had the opportunity to closely observe the
functioning of the Selamber Town Revenue Authority Branch Office. Some of the key
activities and observations include: Tax Assessment and Collection: I assisted in the
assessment and collection of various taxes, such as property tax, business tax, and vehicle tax.
This involved reviewing tax documents, conducting field visits, and assisting taxpayers in
understanding their tax obligations. Record Keeping and Documentation: I was responsible
for maintaining accurate records of tax assessments, payments, and related documents. This
included organizing physical files and updating electronic databases. Achievements and
Learning Outcomes Throughout the internship, I achieved several milestones and gained
valuable insights. Some of the notable achievements and learning outcomes include: 1.
Improved Taxation Knowledge: Through hands-on experience and guidance from senior
staff, I developed a comprehensive understanding of taxation policies, procedures, and
regulations.
Overall, the internship at the Selamber Town Revenue Authority Branch Office provided me
with a valuable opportunity to apply theoretical knowledge in a practical setting. I gained
insights into revenue management practices and developed essential skills for a career in this
field. I am grateful for the guidance and support I received from the office staff, and I believe
this experience will greatly contribute to my professional growth.
 TABLE OF CONTENTS
ACKNOWLEDGMENT..........................................................................................................II

EXECUTIVE SUMMARY.....................................................................................................III

LIST OF FIGURES................................................................................................................ VI

CHAPTER ONE...................................................................................................................... 1

INTRODUCTION....................................................................................................................1

1.1. Background....................................................................................................................1

1.2. Purpose.......................................................................................................................... 1

1.3. Data Collection.............................................................................................................. 1

1.4. Scope..............................................................................................................................1

CHAPTER TWO..................................................................................................................... 2

OVERVIEW OF THE ORGANIZATION...............................................................................2

2.1. Brief Overview of the organization................................................................................2

2.2. Major Activities............................................................................................................. 3

2.3. Products......................................................................................................................... 3

2.4. Hierarchy....................................................................................................................... 3

2.5. Organogram................................................................................................................... 4

CHAPTER THREE..................................................................................................................5

WHAT I HAVE LEARNED....................................................................................................5

3.1. Duration of Internship....................................................................................................5

3.2. Departments Assigned................................................................................................... 5

3.3. List of Activities Performed and Performance...............................................................5

CHAPTER FOUR....................................................................................................................7

ANALYSES.............................................................................................................................7

4.1. Financial Analyses.........................................................................................................7

4.1.1. Ratio Analysis..........................................................................................................7

 4.1.2. Index Analysis......................................................................................................... 7

4.1.3. Common Size Analysis............................................................................................7

4.1.4. Trend Analysis.........................................................................................................7

4.2. SWOT Analysis............................................................................................................. 7

4.2.1. Key External Opportunities.....................................................................................8

4.2.2. Key External Threats...............................................................................................8

4.2.3. Key Internal Strengths.............................................................................................8

4.2.4. Key Internal Weaknesses.........................................................................................8

CHAPTER FIVE......................................................................................................................9

CONCLUSIONS AND RECOMMENDATIONS...................................................................9

5.1. CONCLUSIONS............................................................................................................9

5.2. RECOMMENDATIONS...............................................................................................9

REFERENCES.......................................................................................................................11
 LIST OF FIGURES
Figure 1 organogram of Selamber Town Revenue Authority Branch Office...........................3
 CHAPTER ONE

INTRODUCTION

1.1. Background
The internship report is prepared as part of the internship program at Selamber Town
Revenue Authority Branch Office. The report aims to provide an overview of the
organization's operations and functions from a financial perspective.

1.2. Purpose
The purpose of this report is to analyze the financial operations of the organization using
various analytical techniques such as SWOT, PESTEL, Ratio analysis, Common-size
analysis, Index analysis, and Trend analysis. The report also aims to understand the working
environment and processes of the organization.

1.3. Data Collection

The data for this report was collected through a combination of primary and secondary
sources. Primary data was gathered through observations and interactions with the staff
members at the branch office, while secondary data was obtained from official documents
and reports of the organization.

1.4. Scope
Due to the limited duration of the internship (10 days), the focus of this report will be on
specific departments or functions within the organization. The intern will primarily focus on
the financial operations and processes at the branch office to gain a comprehensive
understanding of the organization's financial management practices.
 CHAPTER TWO
OVERVIEW OF THE ORGANIZATION

2.1. Brief Overview of the organization

Selamber Town Revenue Authority (STRA) is a government organization responsible for
collecting revenue and taxes within Selamber town. The organization plays a crucial role in
generating income for the local government to fund public services and infrastructure
development. STRA is committed to ensuring compliance with tax laws and regulations to
promote financial transparency and accountability.
Mission:
To enhance revenue generation and facilitate the efficient and sustainable development of
Selamber Town through prudent financial management and the provision of excellent
services to taxpayers.
Vision:
To be a model revenue authority in the region, recognized for its integrity, transparency, and
excellence in revenue mobilization.
Values:
 Integrity: Adhering to ethical principles and maintaining the highest standards of
conduct.
 Transparency: Providing clear and accessible information about revenue operations
to ensure accountability.
 Efficiency: Optimizing resources and processes to maximize revenue collection while
minimizing costs.
 Equity: Ensuring fair and equitable treatment of all taxpayers, regardless of their
background or affiliation.
 Innovation: Embracing new technologies and approaches to improve revenue
collection and service delivery.
 Teamwork: Collaborating effectively within the organization and with external
stakeholders to achieve shared goals.
 Accountability: Holding ourselves accountable for our actions and responsibilities,
both individually and collectively.
 Professionalism: Conducting ourselves in a respectful and courteous manner,
upholding the highest standards of professionalism in all aspects of our work.
  Excellence: Continuously striving to improve our performance and achieve
exceptional results in all that we do.
 Customer-Focused: Prioritizing the needs and satisfaction of our taxpayers,
providing excellent customer service and support.

2.2. Major Activities

The main activities of STRA include tax collection, revenue assessment, enforcement of tax
laws, taxpayer education, and administration of tax refunds. The organization works closely
with businesses, individuals, and other stakeholders to facilitate tax compliance and promote
voluntary tax payments. STRA also conducts audits and investigations to detect tax evasion
and enforce penalties on non-compliant taxpayers.

2.3. Products
GTRA offers various services to taxpayers, including tax registration, filing of tax returns,
payment of taxes, issuance of tax clearance certificates, and resolution of tax disputes. The
organization also provides online platforms for taxpayers to access information, submit
documents, and make electronic payments. Additionally, STRA offers training programs and
workshops to educate taxpayers on their rights and obligations under the tax laws.

2.4. Hierarchy
The organizational structure of STRA consists of different departments and units responsible
for specific functions related to revenue collection and management. The hierarchy typically
includes a Director General at the top, followed by Deputy Directors, Managers, Officers,
and support staff. Each department is led by a head who reports to higher authorities within
the organization.
 2.5. Organogram of the Organization
The Organogram of Selamber Town Revenue Authority Branch Office is as follows:

Head of the Office/General Manager

Work Process Coordinator

(Tax Collection)

Officers (Tax Assessors)

Support Staff
Work Process Coordinator
-
(Enforcement)

Officers
Work Process Coordinator
(Tax Inspectors)
- (Taxpayer Education)
-

Officers (Tax
Advisors)

Figure 1 Organogram of Selamber Town Revenue Authority Branch Office

The branch office is responsible for implementing the policies and directives of the main
organization at the local level. It coordinates with other branches and headquarters to ensure
efficient revenue collection and compliance with tax regulations.

Overall, Selamber Town Revenue Authority Branch Office plays a vital role in the financial
management of the town by collecting revenue, promoting tax compliance, and fostering
transparency in financial transactions.
 CHAPTER THREE

WHAT I HAVE LEARNED

3.1. Duration of Internship
During my internship at Selamber Town Revenue Authority Branch Office, I had the
opportunity to gain valuable insights and practical experience in the field of revenue
collection and tax administration. My internship duration was for a period of Ten Days,
during which I was assigned to different departments within the organization.

3.2. Departments Assigned

1. Tax Collection Department
2. Enforcement Department
3. Taxpayer Education Department

3.3. List of Activities Performed and Performance

1. Tax Collection Department
 Assisted in processing tax returns and payments from taxpayers.
 Conducted data entry and verification of taxpayer information in the system.
 Participated in revenue assessment exercises and assisted tax assessors in determining
tax liabilities.
 Received training on tax laws and regulations governing tax collection processes.
2. Enforcement Department
 Accompanied tax inspectors on field visits to businesses and individuals for tax
compliance checks.
 Assisted in conducting audits and investigations to identify tax evasion cases.
 Prepared reports on non-compliant taxpayers and assisted in enforcing penalties.
 Learned about the legal procedures involved in tax enforcement activities.

3. Taxpayer Education Department

 Participated in organizing taxpayer education workshops and seminars.
 Prepared educational materials and presentations on tax compliance and rights of
taxpayers.
  Interacted with taxpayers to address their queries and provide guidance on tax
matters.
 Gained knowledge on effective communication strategies for promoting tax
awareness.

Overall, my performance during the internship was commendable as I actively participated in

all assigned tasks, demonstrated a willingness to learn, and showed commitment to
understanding the intricacies of revenue collection and tax administration. I received positive
feedback from supervisors for my dedication and enthusiasm in carrying out responsibilities
in each department.

Concluding my overall experience, the internship at Selamber Town Revenue Authority

Branch Office was a rewarding learning opportunity that allowed me to apply theoretical
knowledge to real-world scenarios. I developed a deeper understanding of tax laws, revenue
management practices, and the importance of taxpayer compliance. The hands-on experience
gained during the internship has enhanced my professional skills and prepared me for a career
in financial management and public administration.
 CHAPTER FOUR
ANALYSES

4.1. Financial Analyses

4.1.1. Ratio Analysis
During my internship at Selamber Town Revenue Authority Branch Office, I had the
opportunity to analyze the financial performance of the organization using key financial
ratios. The ratios calculated included:
a. Liquidity Ratios: Current Ratio, Quick Ratio
b. Profitability Ratios: Net Profit Margin, Return on Assets
c. Efficiency Ratios: Asset Turnover Ratio, Accounts Receivable Turnover
d. Debt Management Ratios: Debt-to-Equity Ratio, Interest Coverage Ratio

4.1.2. Index Analysis

I also conducted index analysis to assess the overall financial health and performance of
Selamber Town Revenue Authority Branch Office. This involved comparing the
organization's financial indicators with industry benchmarks and standards.

4.1.3. Common Size Analysis

Utilizing common size analysis, I examined the financial statements of the organization to
determine the relative size of each line item in comparison to total revenue or assets. This
helped in identifying trends and patterns in the financial data.

4.1.4. Trend Analysis

Through trend analysis, I tracked the financial performance of Selamber Town Revenue
Authority Branch Office over a period of time to identify any significant changes or patterns
in key financial metrics. This analysis provided insights into the organization's financial
stability and growth prospects.

4.2. SWOT Analysis

SWOT analysis is a strategic planning tool used to evaluate an organization's strengths,

weaknesses, opportunities, and threats. Based on my observations and interactions during the
internship, the following SWOT analysis was conducted for Selamber Town Revenue
Authority Branch Office:

4.2.1. Key External Opportunities

 Collaboration with other government agencies to enhance tax collection efficiency.
 Implementation of technology-driven solutions for improved revenue management.
 Expansion of taxpayer education programs to increase compliance rates.
 Participation in regional tax initiatives for knowledge sharing and capacity building.

4.2.2. Key External Threats

 Changes in tax laws and regulations impacting revenue collection processes.
 Economic downturn affecting taxpayer compliance and revenue generation.
 Competition from informal economy businesses evading taxes.
 Public perception challenges leading to resistance towards tax compliance.

4.2.3. Key Internal Strengths

 Experienced and knowledgeable staff in tax administration and revenue collection.
 Robust IT infrastructure for data management and reporting.
 Effective enforcement mechanisms to address tax evasion cases.
 Strong stakeholder relationships with local businesses and taxpayers.

4.2.4. Key Internal Weaknesses

 Limited resources for taxpayer education and outreach programs.
 Manual processes leading to inefficiencies in tax collection operations.
 Lack of regular training programs for staff to stay updated on tax laws and
regulations.
 Inadequate data analytics capabilities for strategic decision-making.

In conclusion, conducting financial analyses and SWOT analysis provided valuable insights
into the performance and strategic positioning of Selamber Town Revenue Authority Branch
Office. By identifying key opportunities, threats, strengths, and weaknesses, the organization
can develop targeted strategies to enhance revenue collection efficiency, improve taxpayer
compliance, and strengthen its overall financial health.
 CHAPTER FIVE
CONCLUSIONS AND RECOMMENDATIONS
5.1. CONCLUSIONS
In conclusion, the recommendations provided above are tailored to address the specific
challenges and opportunities identified through the SWOT analysis of Selamber Town
Revenue Authority Branch Office. By focusing on practical and implementable strategies, the
organization can enhance revenue collection efficiency, improve taxpayer compliance rates,
and strengthen its overall financial health.

In summary, this internship report has highlighted the financial analyses conducted, the
SWOT analysis findings, and the practical recommendations aimed at enhancing the
performance of Selamber Town Revenue Authority Branch Office. By implementing these
recommendations, the organization can position itself for sustainable growth and success in
the dynamic tax administration landscape.

5.2. RECOMMENDATIONS
Based on the SWOT analysis conducted for Selamber Town Revenue Authority Branch
Office, the following specific and practical recommendations are proposed to address the
identified strengths, weaknesses, opportunities, and threats:
1. Develop a Comprehensive Taxpayer Education Program
 Implement a structured taxpayer education program to increase awareness and
understanding of tax laws and obligations among taxpayers.
 Utilize various communication channels such as workshops, seminars, social
media, and information sessions to reach a wider audience.
 Collaborate with local schools, businesses, and community organizations to
enhance taxpayer education outreach.
2. Enhance IT Infrastructure and Data Analytics Capabilities
 Invest in upgrading the organization's IT infrastructure to streamline tax
collection processes and improve data management.
 Implement data analytics tools to analyze taxpayer behavior, identify
compliance patterns, and enhance decision-making processes.
 Provide training to staff on utilizing IT tools effectively for data analysis and
reporting.
3. Strengthen Collaboration with Government Agencies
 Establish partnerships with other government agencies involved in revenue
collection to share best practices, resources, and information.
 Coordinate efforts with law enforcement agencies to address tax evasion cases
and enhance enforcement mechanisms.
 Participate in regional tax initiatives and forums to stay updated on industry
trends and developments.
4. Implement Technology-Driven Solutions
 Introduce technology-driven solutions such as online tax filing systems,
mobile payment options, and digital platforms for taxpayer interactions.
 Automate manual processes to improve efficiency, reduce errors, and enhance
overall operational effectiveness.
 Conduct regular assessments of technological needs and upgrades to stay
ahead of industry standards.
REFERENCES
● Direct information from the supervisor of the organization.
● Information from written documents of the organization (2015).
● Some from daily activities.
● Through interview with employees of the organization.