A Dissertation Submitted in Partial Fulfillment of the Requirements for the Award of the Degree of Master of Business Administration in Corporate Management (MBA-CM) of Mzumbe University Dar es Salaam Campus College.This study examined the problems which hindered the effectiveness of revenue collection in Morogoro Municipality, inspired by the fact that there were statements of lower revenue collection making the national economy to remain stagnant and the causes were unexamined. The study looked at the institutional framework, the infrastructure and facilities, the others factors, the efforts taken in place. The study used a cross-sectional research design with a sample of thirty-four (34) respondents who were selected the convenience sampling technique. Data were collected by using questionnaires, interviews, and documentary review method. Quantitative data were analysed by using SPSS while qualitative required the use of Microsoft Word. Findings revealed that within the institutional framework the factor which hindered revenue collection was failure to put in place some of the procedures for revenue collection. The greatest problems were: political interference and or interference by policy markers, shortage of qualified personnel for revenue collection, lack of bylaws for some revenue sources, to mention just a few. These problems resulted to lack of effectiveness of municipal revenue collection to a great extent as affirmed by 83.3% of respondents. However fewer efforts were done to redress these problems. The study recommended that the regulations and procedures be put in place, politicians communicate with the municipal council prior to taking any decision, facilities and qualified personnel be increased, corruption be fought, and that further studies be conducted while focusing on the daily challenges facing revenue collectors working under supervision of the accounting department