To further make progress, the state needs to grow her internally generated revenue platforms. Nigerian states by internally generated revenue igr 2015. The nbs had revealed that the 36 states in nigeria in 2017 recorded a joint internally generated revenue igr of n931. Nigerian states by internally generated revenue igr. Internally generated revenues igr are revenues or funds generated by states within the nigerian federation, independent of their share of revenue from the federation account deloitte, 2016. The paper examined the measures of generating internal revenue for government in oyo state.
Executive summary the national bureau of statistics publishes internally generated revenue at state level for q3 2017. 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. Lagos states internally generated revenue rose to n76. Enhancing internally generated revenue for accelerated. The internally generated revenue igr has taken the second position in sources of. Tax is a compulsory levy imposed by government on individuals and companies for the various legitimate function of the state olaoye, 2008. Developing internally generated revenue in an era of diversification. Optimising internally generated revenue in nigeria 2 2 e run.
Internally generated revenue archives premium times nigeria. A simple random sampling technique was adopted for the selection of 160 responding out of the 572 staff of the oyo state internal revenue service of the ministry of finance. This is the process of sourcing revenue for the local government in carryout their aim and objectives. This motivated investigation of the components as contributory factors to the volatility. A total of n931 billion was generated internally across states in nigeria in 2017. Olusegun banjo, has said that the state government recorded internally generated revenue igr of about n103. With declining global oil prices putting increasing pressure on states to explore alternative ways to shore up their revenue earnings, only 11 of nigeria s 36 states improved their internally. The states with the poorest internally generated revenue of less than 10% in the south are imo, bayelsa, ekiti, and ebonyi states while in the north we have niger, nasarawa, sokoto, katsina, gombe. The national bureau of statistics, nbs in its latest report has revealed how states across nigeria are performing in terms of internally generated revenue. There has been a recent need to boost internally generated revenue in nigeria due to the fall in the price of oil, upon which nigeria has been dependent for revenue. Nigerian states and internally generated revenue logbaby. At the close of 2017, revenue generation by the nigeria customs service stood at n1.
Internally generated revenue unit in higher institution therefore is to serve as relief to government expenditure. This is the latest report by the nigeria bureau of statistics on the amount of internally generated revenue igr by nigerian states for the 2015 fiscal economic. The reform therefore advocated an increased funding for the third tier of government particularly through increased internal revenue efforts. Internally generated revenue across states in nigeria in 2017. The internally generated revenue of lagos state has increased from n201. Olusegun banjo, has said that the state government recorded internallygenerated revenue. Impact of internally generated revenue on performance of. Both secondary and primary data were used for the study. Source nigeria bureau of statistics website download page. The lagos state commissioner for economic planning and budget, mr.
Tax collection is the implementation of the measures tax policies and tax laws put in place by a statutory government institution for the purpose of generating and aggregating revenue for the government. This is necessary to sustain the progress already achieved. The paper examines the growth rate of state governments internally generated revenue igr in nigeria between 1999 and 2011. Internally generated revenue of nigerian states trends. Here is a breakdown of nigerias internally generated revenue by states as released by the national bureau of statistics for the fourth quarter of 2018.
Abstract local government is faced with varieties of difficulties to source adequate revenue from federal government, state government and internally generated. Read all the latest news, breaking stories, top headlines, opinion, pictures and videos about internally generated revenue from nigeria and the world on today. This is the latest report by the nigeria bureau of statistics on the amount of internally generated revenue igr by nigerian states for the 2015 fiscal economic year. The study established that vat is a consumption tax on economic operations including imports. Volatility of internally generated revenue and effects of. It is recommended that university administrators should be more transformative in their leadership style in order to strengthen their revenue base for effectiveness in university management. Internally generated revenue state governments and statecontrolled entities local governments collect and control all revenues generated from personal income tax, property tax, road tax, radio and television tax among others. May 17, 2017 the dependency of nigerian states on remittances from the federal government is well known. Impact of personal income tax on the growth of nigeria. Volatility of internally generated revenue and effects of its. Back to main page internally generated revenue, the osun state government on monday announced that butchers in the state would henceforth pay n700 as levy for every cow slaughtered for sale in the state. Internally generated revenue news latest breaking stories. Tax compliance barriers and internally generated revenue.
Internally generated revenues igr are revenues generated by states within the nigerian federation, independent of their share of revenue from the federation account. Fiscal federalism, governance and internally generated. Get free research paper on evaluation of internally generated revenue and economic growth of kano state from 19992014 project topics and materials in nigeria. Using descriptive approach, the results of the paper revealed that on the overall. Forum savi state accountability and voice initiative sparc state partnership for accountability, responsiveness and capability wb world bank igr internally generated revenue usd united states dollars paye pay as you earn bir board of internal revenue gdp gross domestic product nbs national bureau of statistics. 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. Analysis of internally generated revenue and its implications on fiscal viability of state governments in nigeria. The purpose of the study was mainly to identify the major sources and utilization of internally generated financial revenue by nigerian university administrators. This paper discusses the role of internally generated revenue igr as inevitable alternative funding for higher education in nigeria.
Evaluation of internally generated revenue and economic. 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. Internally generated revenue igr and infrastructural. This study assessed the effects of internally generated revenue on infrastructural development in akwa ibom state. Revenue is the fulcrum of development in any state, for no state can effectively function and carry out its numerous duties to its citizenry without resources in the form of revenue. The importance, how to, effect causes relationship, comparison, history, role, solutions are discussed. In 2017, lagos state accounted for approximately 35. Internally generated revenue state governments and statecontrolled entities local governments collect and control all revenues generated from personal income tax, property tax, road tax, radio and television tax, among others. Nigeria government revenues 20102019 data 20202022.
The specific objectives were to determine how the problems of lack of reliable tax databasetax automation and prevalence of cash transactions among small and medium enterprises affect revenue generation. Tax compliance barriers and internally generated revenue in. A nigerian case study veronica olaitan masters project university of winnipeg august 4, 2016 abstract. The population of the study consisted of all the 102 university administrators from the seventeen federal universities in southern nigeria. Monies collected by a government through imposition of levies and taxes on facilities, incomes, sale of goods and services. This paper titled internally generated revenue in the local government system and sustainable community development is aimed at identifying strategies to improving the sources and utilization of internally generated funds in the local government system in nigeria.
This report is the summary of a scoping study meant to. Taxation only works if it is implemented in step with visible service delivery and development. Examining weak subnational finances in nigerian states chukwuma agu african institute for applied economics,enugu, nigeria abstract one of the most crucial challenges to nigeria s ailing fiscal federalism is the inability of states to raise, retain and manage revenue. Still, nigeria s revenue to gdp remains low given the size of the economy.
The effect of internally generated revenue on economic growth chapter one introduction background of the study revenue generation in nigeria local governments is principally derived from tax. 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. Autoregressive conditional heteroscedasticity arch 1 model adopted revealed volatility in the igr. The results also revealed that, the tax evasion has adverse effect on government revenue generation in oyo state which typically results in revenue loss. The study examined the effect of taxation barriers on governments revenue generation in nigeria.
Further, 3 increasing igr in a way that does not increase poverty depends on the instruments used and the specific economic conditions in a given state. Internally generated revenue igr for states in nigeria. Internally generated revenue at state level national bureau of. To do otherwise would be tantamount to dragging the state back to the days of underdevelopment, non payment of salaries and general stagnation of the economy. Pdf challenges of expanding internally generated revenue. Most tertiary institutions in nigeria have set up internally generated revenue units to source for funds in order to use in assisting government to finance the institutions. Internally generated revenue igr and effectiveness of. Its impact on government developmental effort a study of selected local council in kogi east senatorial district edogbanya, adejoh.
Again, its me scholes0, your nairaland statistician general state rank. This nigerian state also has been listed among the highest revenue generating states with n15,663,514,824. Internally generated revenue at state level q1 q3 2017. The paper leverages on available literatures to revalidate the inevitability of igr as long as the government or other university proprietors fails to provide adequate funding for the universities operating. This is approved for students in accountancy business computer science economics engineering arts.
To navigate through the ribbon, use standard browser navigation keys. Pdf internally generated revenue igr and infrastructural. Tax legislation are the acts governing taxation in nigeria for various tax types. Internally generated revenue across states in nigeria in. This is because the state as the second tier of government needs revenue to provide basic social amenities to the people. A close look at the figures show that lagos igr which was n334billion in 2017 is over 35% of all the igr across the state in 2017. Evidence from the literature of accounting and finance revealed that the adverse impact of declining global oilprices on the nigerian economy is pushing state. The impact of internally generated revenue on economic. Provision of funds for the academic libraries has been one of the challenges to adequate availability of information resources.
The entrepreneurial o ption revisited european journal of social sciences volume 23, number 4 2011. President buhari ends budget impasse, signs 2016 appropriation bill into law this budget is a budget of faith for the nigerian people. The dependency of nigerian states on remittances from the federal government is well known. Narrowing down to the case study, ebonyi state board of internal revenue, abakaliki, ebonyi state was created on 1 st october, 1996 out of existing abia state and enugu state by the president and commander in chief of the armed forces of the federal republic of nigeria, general sani abacha. Yobe state generated the least internal revenue in 2017. Internally generated revenue igr is the revenue that state governments generate within the areas of their jurisdiction.
At a first glance, the data was not surprising as states in southern nigeria continue to show dominance in terms of economic activity. An empirical study carried out by ehule 2015 on the impact of internally generated revenue on the. Optimising internally generated revenue in nigeria perl. With declining global oil prices putting increasing pressure on states to explore alternative ways to shore up their revenue earnings, only 11 of nigerias 36 states improved their internally. Apr 25, 2017 inspite of the economic recession in the country, lagos state government, yesterday, said n312. Fiscal federalism, governance and internally generated revenue. Sources of government revenue in nigeria nigerian finder. The inability of states and local governments in nigeria to generate enough revenue to cope with their expenditure responsibilities has been a.
Internally generated revenue archives the guardian nigeria. Nbs data reveals how much nigerian states generated. Developing internally generated revenue in an era of. In this work, volatility of internally generated revenue of akwa ibom state with the contributory effects of its components was the major interest. Revenue generation in local government areas problems and prospects includes abstract and chapter one, complete project material available revenue generation in local government areas problems and prospects abstract the adverse situation in the various local government areas of nigeria has led the researcher to go.
In 2016, lagos state accounted for approximately 37% of total internally generated revenue collected by states. Lagos declares n436 billion internally generated revenue. Most institutions rely on institutional revenues to be made available to the libraries at appropriate and available period. A number of studies have been carried out on problems of revenue generation in nigeria. The national bureau of statistics nbs last week released some interesting data set on the internally generated revenue igr profiles for nigerias 36 states between 2010 and 2012. Pdf analysis of internally generated revenue and its implications. If the smes gdp contribution could be translated into tax revenue, governments internally generated revenue could make significant appreciation ali et al. Effect of internally generated revenue on infrastructural. Pdf analysis of internally generated revenue and its. Forum ngf plans a peerlearning workshop to assist states to boost internal revenue generation. Overall, government revenue can be divided into oil revenue and nonoil revenue and these have been highlighted below.
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