To examine the factors undermining effective revenue mobilization. The sources for state igr include taxes pay as you earn, capital gain tax, withholding tax, etc. Akpa, 2004 opines that, most of the 774 local councils today depend heavily on the statutory allocations for survival as no less than 80 percent of the total revenue comes from this source. To examine the relationship between value added tax and revenue generation in nigeria to establish the effects of value added tax on revenue generation in nigeria 1. Pdf this study assessed, in empirical terms, the roles that internally generated revenues play in the administration of state governments in. Improved internally generated revenue and sustainable budget. Introduction worldwide, it is generally held that all stakeholders in education, including governments, individuals and communities expect schools at all levels to produce educated persons for national and individual development.
Effect of internally generated revenue on infrastructural. The general objective is to examine how the upper denkyira east municipal assembly can improve the mobilization of its internally generated fund. Impact of etaxation on nigerias revenue and economic. This study is based on the evaluation of ebonyi state tax system as a major source of revenue generation with emphasis on impact of taxation on the internally generated revenue of ebonyi state, the researcher made use of ebonyi state board of internal revenue, abakaliki, professional accountants, civil servants and the public from various walks. Governments should upgrade their methods of internal generated revenue collection from manual to digital. It seeks to find out the extent to which the introduction of the dacf has influenced local revenue generation capacities of the district assemblies. To assess the sources of revenue to the upper denkyira east municipal assembly 2. Forrester took a multistep approach to evaluate the impact that adobe sign can have on an organization. The improper use of igr and corruption have remained a setback to.
To proffer solution to the problem of poor internal revenue generation. Pdf the study investigated the impact of internally generated revenue igr on economic development of nigeria. The study examined the impact of value added tax on the internally generated revenue of lagos state for a 6year period ranging between 2011 and 2016. Developing internally generated revenue in an era of diversification. The effect of internally generated revenue on economic growth 20102014 chapter one introduction background of the study revenue generation in nigeria local governments is principally derived from tax. Most institutions rely on institutional revenues to be made available to the libraries at appropriate and available period. Impact of internally generated revenue igr on the growth. Erhagbe 2014 states that igr is the creation of tangible and intangible funds within the confines of ones entity.
The various sources of internal revenue available to state governments includes taxes, fines and fees. What are the impacts of poor revenue generation on the development of lagos state. To determine what accounts for the inability of revenue collectors to collect internally generated revenue in njikoka local government. Tax revenue generated by the federal government of nigeria and tax revenue generated by some selected states were obtained in order to assess the impact of taxation on revenue generation by the federal government of nigeria and by some selected states in nigeria from 20022011. More worrisome are the effects of these government actions as economic implications are. Impact of internally generated revenue on performance of local. Revenue generation is the nucleus and the path to modern development. The objective of this study was to examine the significant difference between the effects of oil and non oil tax revenue on economic growth in nigeria. Edogbonya 20 studied the impact of revenue generation on. The purpose of this study is to analyze the impact of internally generated revenue on the infrastructural development of public universities in ondo state. The study established that vat is a consumption tax on economic operations including imports. Developing internally generated revenue in an era of. The exportation of oil in from the first quarter of the 70s shifted the revenue base in favour of oil odusola, 2006, iyoha, 2003.
With the lingering economic struggles, there have been renewed calls for the nigerian government to diversify the economy away from the oil and gas sector. The general objective of this study is to examine the impacts of value added tax on revenue generation in nigeria. The impact of internally generated revenue on economic development in nigeria article pdf available march 2018 with 3,099 reads how we measure reads. Introduction worldwide, it is generally held that all stakeholders in education, including governments, individuals and communities expect schools at all levels to produce educated persons for. They are also statutorily entitled to 10 per cent of states internally generated revenue. All these factors to a large extent strangulated the lg form effective service delivery ibok, 2014 and abada, 2007. Optimising internally generated revenue in nigeria 3 3 e introduction this paper a leap deliverable has been commissioned to provide a contextual study of factors linked to effective internally generated tax development5, in line with leaps objective to promote the generation and use of evidence on key public sector reform policy questions. Internally generated revenue igr and infrastructural. This is because the state as the second tier of government needs revenue to provide basic social amenities to. The ones which the local government generates by itself is regard as internally generated revenue, while those that comes from either the state on the federal government or. Internally generated revenue igr may be in the form of education counterpart funding scheme ecfs which serves to fund the university system apart from the statutory grant that is received from the government. The objective of the framework is to identify the cost, benefit, flexibility, and risk factors that affect the investment decision. Internally generated revenue is one of the ways through which nigeria, particularly the.
Abstract local government is faced with varieties of difficulties to source adequate revenue from federal government, state government and internally generated. To examine the extent internally generated revenue significantly affect state government total revenue. The average percentages of internally generated revenue in relation to the federal allocation were between 59 percent for. The objective of this study was to examine the significant difference between the effects of. This paper assesses the impact of the dacf on internally generated revenue mobilisation. Identify the reasons for the inadequacy of internally generated fund of ccma. This paper assesses the impact of the dacf on internallygenerated revenue mobilisation.
Edogbonya 20 studied the impact of revenue generation on government developmental efforts. In 1985, the states proportion was reduced to 10 percent of the internallygenerated revenue, local. Monies collected by a government through imposition of levies and taxes on facilities, incomes, sale of goods and services. The impact of effective internal control on the revenue generation of local government councils with abstract, chapter 15. However, internally generated revenue which is a stable revenue source has been neglected due to overdependence on statutory allocation from the federation account. The study revealed that revenue base has a significant impact on the creation of social assets.
Revenue generation and local government administration in. The major purpose of this study is to examine effective tax administration and its impact of internally generated revenue of states in nigeria. To find out if lack of financial autonomy constitutes a problem to internally generated revenue in njikoka local government. The emerging results, established that increase in revenue from the federal and state government would exert positive effect on the gross domestic product gdp, whilst increase in internally generated revenue. Impact of internally generated revenue on performance of. Provision of funds for the academic libraries has been one of the challenges to adequate availability of information resources. The impact of effective internal control on the revenue. Examining weak subnational finances in nigerian states chukwuma agu african institute for applied economics,enugu, nigeria abstract one of the most crucial challenges to nigerias ailing fiscal federalism is the inability of states to raise, retain and manage revenue. Identify the impact of existing strategies on its revenue mobilisation. The inability of states and local governments in nigeria to generate enough revenue to cope with their expenditure responsibilities has been a serious challenge. This study examined the impact of etaxation on nigerias revenue and economic growth. At the present, revenue sharing formula, local governments receive 20 per cent from the federation account.
Internally generated revenues igr are revenues generated by states within the nigerian federation, independent of their share of revenue from the federation account. The main aim and objectives of the study the main aim of this study is to ascertain the sources of internally generated revenue for asa local government area of kwara state and the extent to which the resources have been used for. Per capital income is the total national income divided by. Analysis of internally generated revenue and its implications on fiscal viability of state governments in nigeria. The impact of local government internally generated revenue on community development in nigeria abstract the impact of local government internally revenue is likely to be felt by the people in the community in the sense that, all development in the community area are been carried out by the local government of the community. The study investigated the impact of internally generated revenue igr on economic development of nigeria. Internally generated revenue igr is that revenue that is derived within a state or local government from various sources at its disposals. Pdf analysis of internally generated revenue and its. Introduction internally generated revenue igr is the revenue that state governments generate within the areas of their jurisdiction.
Given that the purpose of introducing electronic tax system is to improve revenue collection which will in turn improve the countrys economic growth, the study empirically examined how the implementation of etaxation in 2015 has affected tax revenue, federally collected revenue and taxtogdp ratio. Research questions in order to achieve the objectives of the study, the following research questions were posed for the appropriate answers. Lawal 2000, ezeh 2000, tonwe 2008 but none has been written on impact of internally generated revenue on community development in asa local government area of kwara state. Fiscal federalism, governance and internally generated. Fiscal federalism, governance and internally generated revenue. An empirical study carried out by ehule 2015 on the impact of internally generated revenue on the performance of a public sector, reveals that permits and rates have significant positive impact on performance. With the lingering economic struggles, there have been renewed calls for the nigerian government to diversify the economy away from the oil. Impact of internally generated revenue in development of. Tax automationcomputerization will equally make tax filling and. Internally generated revenue are those revenues that are derived within the state from various. The importance, how to, effect causes relationship, comparison, history, role, solutions are discussed. An increase in the capacity of an economy to produce goods and services, compared from one period of time to another.
This study assessed, in empirical terms, the roles that internally generated revenues play in the administration of state governments in nigeria, using ogun state in the south western part of the country, as case study. The average percentages of internally generated revenue in relation to the federal allocation were between 59 percent for most nonoil producing states in the recent past. Public revenue could be defined as the revenue or funds generated by the government internally to finance government activities. Local governments in nigeria receive statutory allocations from the two higher tiers of government federal and states. Internally generated revenue igr and effectiveness of. Tax is a compulsory levy imposed by government on individuals and companies for the various legitimate function of the state olaoye, 2008. This refers also to the grand total of money of income received from the source of which expenses are incurred. Findings showed that etaxation can enhance internally generated revenue and can reduce the issue of tax evasion. In other to facilitate the above statement, the state.
This is because the state as the second tier of government needs revenue to provide basic social amenities to the people. It is worthy to mention that in whatever way revenue is defined or classified, the central theme is the role that it. Pdf the impact of internally generated revenue on economic. Tax revenue structure and its effect on economic growth. Its impact on government developmental effort a study of selected local council in kogi east senatorial district edogbanya, adejoh. This is approved for students in accountancy business computer science economics engineering arts.
This is to say that, internally generated revenue igr. The purpose of the study was mainly to identify the major sources and utilization of internally generated financial revenue by nigerian university. This study assessed the effects of internally generated revenue on infrastructural development in akwa ibom state. Get free research paper on evaluation of internally generated revenue and economic growth of kano state from 19992014 project topics and materials in nigeria. Tax compliance barriers and internally generated revenue. The bloated personnel structure has to a large extent expanded the financial burden of the lg though it may be. The impact of internally generated revenue on economic. From the above empirical studies, the researcher believes that proper tax data or database if put in place, will enhance revenue generation among smes in nigeria. Psigrj proportion of states internally generated revenue in year j. An assessment of internally generated revenue on local. This study was designed to investigate the tax revenue and nigerian economic growth for period of three decade, using time series data from 1986 to 2015.
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