LOCAL AUTHORITIES MUST ENSURE TAX COLLECTION

VUKOVAR, Oct 21 (Hina) - The Vukovar County Assembly convened on Tuesday to discuss the functioning of local government in the part of the county under UN transitional administration, and the return of displaced persons. "The main problem in the functioning of local government is empty municipal coffers," County Prefect Rudolf Koenig said. Koenig said that by November 1, local authorities were obliged to pass decisions on the basis of which taxes and other duties would be collected. The work of local government is currently being financed from the national and county budget and taxes paid by displaced persons because the local population and companies operating in the UN- administered region are not paying taxes and duties. Koenig said that about 250 registered companies and small business owners did not make payments through the Payment Operations Bureau to evade paying tax. "Financial police are still not punishing such behaviour, so that for the time being there is no way of collecting that money," Koenig said, calling on the local population to begin fulfilling their obligations like other Croatian citizens. "Before a final decision on the end of the UNTAES mandate, i.e. before the beginning of December, local self-government in the area of Vukovar County under UN transitional administration must be fully functioning," he said. During a discussion on the return of displaced persons and reconstruction, head of the regional office for displaced persons and refugees Ante Drmic said 404 displaced persons had so far returned in an organised way to the UNTAES-controlled part of the county. "An average of five people have been returning on a daily basis in the last two weeks," Drmic said. (hina) vm jn 211553 MET oct 97