Part of Springer Nature. In contrast, revenues from charges steadily increased from 11 percent of general revenuein 1977 to 17 percent in 2019. >> xo A>a#dkU(0 KJ@C2aOb4a&MoZ(K#YWa-SI{;E zubQ?$6 J&/oB50uvF>LO>Cw~N.1~,s%8#/A"akFu^6V07ST]hi/p4g8GtC? _X*O9H+CaB(ErQK]0K|d)F2t4a6ntHFcjdiD The largest state and local general own-source funds came from charges and property taxes (both 17 percent), followed by individual income taxes and general sales taxes (both 13 percent),and selective sales taxes (6 percent). /Meta25 33 0 R /Resources << Thus, the 'ocal government cannot embar$, execute, and possibly carryout the maintenance of these pro%ects and other responsibilities, This is the basic reason #hy development is s$eletal at some 'ocal -overnment, councils in Nigeria. /CS /DeviceRGB /ExtGState << /F1 20 0 R 1 How did the TCJA affect the federal budget outlook? How does the tax system subsidize child care expenses? This research work examines how the federal Government of Nigeria generate revenue and the development of Local Government Areas, Revenue Generation and the Development of Local Government Areas, 100% found this document useful (8 votes), 100% found this document useful, Mark this document as useful, 0% found this document not useful, Mark this document as not useful, Save Revenue Generation and the Development of Local Go For Later. state and local government with a recommendation that conscious effort be made to allocate more revenues to states and local governments. Public sector revenue management is as managing government revenue in public sectors. Assessing Fiscal Capacities of States: A Representative Revenue SystemRepresentative Expenditure System Approach, Fiscal Year 2012. Washington DC: Urban Institute. /F5 40 0 R Meanwhile, individual income taxes have also increased as a percentage of state and local general revenue, providing 10 percent in 1977 and 13 percent in 2019. for generating additional revenues. Next, cities should perform a thorough gap analysis to define the potential revenue impact for any given stream. r_ w=[,()l9"] JETfKIXpEq)h5-B(3+r;&uJ_=~_9=0 In Finland, for example, fines for speeding are broadly linked to the income of violators and how far over the speed limit they were traveling when caught. /Image8 18 0 R /F2 21 0 R /Group << What can state and local sales taxes tell us about a national retail sales tax? Form 2, or on the appropriate line on Nebraska and Local Sales and Use Tax Return, Form 10 . endstream AMA is one of the most resourced MMDAs /Font << Tracy Gordon, Richard C. Auxier, and John Iselin (2016), Governing with Tight Budgets; Long Term Trends in State Finances 9evelopment is highly associated #ith, much revenue is needed to plan, execute and maintain infrastructures and facilities, developmental pro%ects li$e construction of accessible roads, building of public, schools, health care centers, construction of bridges among others are sources, generated from taxes, royalties, haulages, fines and, international governments. All revenue data are from the US Census Bureaus Annual Survey of State Government Tax Collections. Candice Ferrette and Robert Brodsky, Red-light camera revenues jump in Nassau County, Newsday, June 10, 2018, newsday.com. A new tax on plastic would raise revenues and also benefit the environment. The need for state and local governments to generate adequate revenue from internal sources has therefore become a matter of extreme urgency and importance. As a local government leader, you're pressed to keep up with the immediate needs of your community during the COVID-19 crisis. New York, Scribner Press in Institute of Management and Leadership Professional Nigeria (2012). Annual Survey of State and Local Government Finances. 3. City of Los Angeles Department of Public Works, Bureau of Engineering standard fee list. What are the consequences of the new US international tax system? 8 Meanwhile, housing-program transfers are about 40 percent of federal transfers to local governments. endobj Revenue generation is the main source of income to the Federal, State and local Governments. /Type /Catalog ZY,$85Y4$4p8 xGYX4238. << A citizens guide to the fascinating (though often complex) elements of the US tax system. 9 0 obj << (Sources of state general revenue do not sum to 100 percent because of rounding.). /Contents 79 0 R What did the American Taxpayer Relief Act of 2012 do? /StructParents 4 >> What are itemized deductions and who claims them? >> <]>> endobj What are the sources of revenue for the federal government? /StructParents 9 What are the benefits of return-free filing? revenue generation still remains poor due to local government being unable to exploit revenue areas because of the interference of State Government in local government affairs. Local governments in Nigeria have developed over a number of years. /CS /DeviceRGB /ProcSet [/PDF /Text /ImageB /ImageC /ImageI] /Resources << How does the tax system affect US competitiveness? US Census Bureau. /F7 42 0 R /S /Transparency Journal of Economics and Sustainable Development, 7(8),113123. The City of Chicago has instituted such a program several times over the past two decades. Predicting Municipal Fiscal Distress: Aspiration or Reality? 4 0 obj /GS7 17 0 R For cities and counties, property tax revenue makes up 61% of own-source tax revenuerevenue from taxes the local government leviesby far their largest tax source. endobj What tax incentives exist to help families pay for college? /GS7 17 0 R endobj What are the major federal payroll taxes, and how much money do they raise? We'll email you when new articles are published on this topic. Please email us at: 68% of the world population projected to live in urban areas by 2050, says UN, United Nations Department of Economic and Social Affairs, May 16, 2018, un.org. Chapter One of Revenue Generation in Local Government Areas (Problems and Prospects) INTRODUCTION: BACKGROUND OF THE STUDY: Nigeria has three- tiers of government systems, These are; (i) The federal government (ii) The state government and (iii) The local government. Each time, the city brought in $7 million to $9 million in revenue. nQt}MA0alSx k&^>0|>_',G! endobj D?M5j$3X,/L )o-@ci"wAB%O3FQO ~3(,*Y| ?3efuj 6 6+?j|yDVQvKxzV. >Pu*wH:97CWW Regarding dissipation, figure 4 shows the time series power curtailment of an integrated generation plant without energy storage. 2. How does the federal government spend its money? This intervention is typically applicable to any paper-based transactions or services, such as business license fees, construction permit fees, or land registration fees. /GS7 17 0 R !ODL 2}PE^eF}6m 0|A h%D|k[ There is no one route that cities can or should take to boost revenues. How would various proposals affect incentives for charitable giving? What have budget trends been over the short and long term? wG xR^[ochg`>b$*~ :Eb~,m,-,Y*6X[F=3Y~d tizf6~`{v.Ng#{}}jc1X6fm;'_9 r:8q:O:8uJqnv=MmR 4 the federal and state governments in Nigeria to boost revenue generation under a programme known as the Accelerated Revenue Generation (ARG) Programme. /ProcSet [/PDF /Text /ImageB /ImageC /ImageI] <>>> 4 0 obj Transfers fell from 1977 through most of the 1980s but increased slowly though the 1990s. >> What are error rates for refundable credits and what causes them? 11. /S /Transparency endobj Maintaining public support is critical to the longer-term viability of such efforts, and cities must create an attractive business climate. In Los Angeles, for instance, developers can obtain an expedited engineering permit for a surcharge of 40 percent of the permits cost. endobj n /, another reform of local government #as, established. Which tax provisions subsidize the cost of health care? /Length 5747 /Contents 56 0 R /Image89 71 0 R 5356 0 obj <> endobj Edogbanya, A., & Sule, J. G. (2013). Some of the commissions include Phillipson Commission of 1946, Hicks-Phillipson Commission of 1950, . 7 0 obj Taxes provided 49 percent of state general revenues in 2019, including: Charges, such as tuition paid to a state university, payments to a public hospital, and tolls on highways, when combined, provided another 11 percent of state general revenues in 2019. /CS /DeviceRGB Aravind Boddupalli and Kim Rueben (2021), Assessing Fiscal Capacities of States: A Representative Revenue SystemRepresentative Expenditure System Approach, Fiscal Year 2012 Cities should consider the following areas: Collectively, these assessments will help cities to produce a prioritized list of levers for implementation. /Font << 12 0 obj You may be shifting priorities daily in order to address the effects of the crisis on your constituents. One strategy that cities have followed is introducing an amnesty program for delinquent parking tickets that waives penalties and additional fines as an incentive for motorists to pay up. 2 0 obj "F$H:R!zFQd?r9\A&GrQhE]a4zBgE#H *B=0HIpp0MxJ$D1D, VKYdE"EI2EBGt4MzNr!YK ?%_&#(0J:EAiQ(()WT6U@P+!~mDe!hh/']B/?a0nhF!X8kc&5S6lIa2cKMA!E#dV(kel }}Cq9 Revenue from property, sales, and other taxes totaled $707 billion, or 42 percent of general revenue. To address this problem, requires proper implementation of plans directed at enhancing adequate revenue generation. /Pages 2 0 R <> How does the current system of international taxation work? The revenue systems of these governments eroded while the workloads and scope on the expenditure side of the state and local system budget . What are tax credits and how do they differ from tax deductions? >> Within this larger context, the ability of local governments to successfully and sustainably use revenue powers depends on an appropriate multi-dimensional constitutional/legal/ administrative framework. Sales taxes (general and selective) provided local governments $124 billion (7 percent of general revenue) and individual income taxes accounted for $33 billion (2 percent). This is a preview of subscription content, access via your institution. Two Decades in Effect: Volume-Based Waste Fee System in South Korea, Ministry of Environment, South Korea, January 2016. Accessed 18 July 2016. Sarah Jindra, Chicagos ticket amnesty program begins today, WGN9, November 10, 2015, wgntv.com. 8 0 obj 4, Government Finances. This intervention includes expanding the sheer quantity of service offerings and assets, extending charges to a larger user base, or increasing the frequency of surveillance and inspection for selected fine sources to maximize detection of violations. <>>> What did the 200810 tax stimulus acts do? In addition, to help gauge the likelihood and tenor of social acceptance prior to forging ahead with implementation, cities could consider conducting a citizen sentiment survey to understand how receptive residents might be to specific changes in fee structures and charges. /F3 84 0 R Todaro, M. P. (2015). [/ICCBased 9 0 R] 5 jzz^Q@I9AhTu>GpLs9KL~z]?'PI c&>/uJ9RaUm0XJ|dI3O\Yo^m\l*oGdhe)d=j University of Lagos Press. As an alternative to benchmarking, cities could also determine the cost of services and then establish a cost-plus pricing model to generate additional revenues. Longman. 0000003670 00000 n These factors often include volume of activity, location, and period of validity. What tax incentives exist to help families save for education expenses? What characteristics make fiscal stimulus most effective? Transfers for education programs account for over two-thirds of state government transfers to localities. >> << <> 0000001743 00000 n <>stream 6 Revenue from charges, fees, and miscellaneous sources increased from 15 percent to 23 percent in 1985 and has remained roughly at that level since then (figure 2). What does the IRS do and how can it be improved? essential social services to the people. %PDF-1.4 % >> In 2013, Seoul introduced a volume-based food waste disposal charge that succeeded in reducing its daily food waste significantly. /CS /DeviceRGB /Type /Pages sources, via the external sources and the internal source. However, the state government transfer total includes indirect federal funds that are initially allocated to states. >> Cameron Amos and Jesper Lindqvist, Finlands fine example, The Australia Institute, January 2016, tai.org.au. Its time to change it, CityMetric, March 12, 2018, citymetric.com. What policy reforms could simplify the tax code? /Type /Group >> 0 Subscribed to {PRACTICE_NAME} email alerts. %PDF-1.5 /S /Transparency /Type /Group What would be the effect of a national retail sales tax on economic growth? Last, municipalities could increase revenues by implementing higher fees for faster processing times or better service. How did the TCJA affect tax expenditures? The State's own budgetary issues have put a major strain on local government budgets across Illinois. /F5 40 0 R 6. Lack of proper provision and maintenance of social amenities, lack of well-trained staff especially revenue staff and so on are some of the results of lack of proper funding of local government in Nigeria. On the other hand, if the state collects a tax imposed by local governments, the collection and distribution to the imposing local governments is treated as an agency transaction; that is, the receipts are reported entirely as tax revenue of the local governments and not as either a state tax or state intergovernmental expenditure. On what do economists agree and disagree about the effects of taxes on economic growth? This intervention is typically most applicable to service feesspecifically, utility services such as water, sewage, or electricity. 2 0 obj /StructParents 2 This unit has several responsibilities. /CS /DeviceRGB In 2019, transfers from the federal government provided 22 percent of combined state and local general revenues. 11 However revenue generation by communities dates back to 1986 when central government requested the local . To instill a culture of performance, organizations should set targets for net revenues and select key performance indicators (KPIs). . N')].uJr How should distributional tables be interpreted? 7, 192209. >> appropriate. xZs8hI6mzumvwn:ul7 z?0{v8,Vjq.W?_/NOfSXbyqhu0r}z2/6r>YmM%`@NUOv- We have found that this effort has led to a year-over-year increase in municipal revenues of 30 percent. What tax changes did the Affordable Care Act make? /Type /Group Service fees. How does the deduction for state and local taxes work? What is the tax treatment of college and university endowments? Taxes, fees, and user charges are considered "own-source" revenue. >> /Meta64 58 0 R /Meta37 37 0 R 1 0 obj /F1 20 0 R Revenue sources and economic growth in Nigeria: An appraisal. the enabling law in form of local government act 1997 (amended). The rapid urbanization of the worlds population is well under way. /Meta44 31 0 R /F6 41 0 R /Producer (iText 1.3 by lowagie.com \(based on itext-paulo-153\)) How did the Tax Cuts and Jobs Act change personal taxes? >> endobj What transition rules would be needed for a national retail sales tax? 13 0 obj Lucy Dadayan (reports are updated quarterly), Surveying State Leaders on the State of State Taxes fPU1"kVVY%9kgi=IIbjm_l g$+pVS?Fn!:El0L4m^. 2.1.2 Section 81 of the Local Government Act, 1997 (amended) allows Local Government to mobilise revenue in form thof fees and taxes as specified in the 5 schedule. Charges and miscellaneous fees, such as water, sewerage, and parking meter fees collected by municipal or county governments, provided $385 billion (23 percent of local general revenue). << \\jG*"ktVJE /S /Transparency Before cities can begin to optimize their revenues, they must first compile an inventory of existing revenue streams. (*(%8H8c- fd9@6_IjH9(3=DR1%? Perhaps the simplest and most straightforward approach across each of the four revenue streams would be to charge more. /ExtGState << What options would increase federal revenues? What is the Canadian experience with a VAT? /Count 10 We strive to provide individuals with disabilities equal access to our website. These activities, such as hospitality charges and taxes on plastic bottles and bags, carbon from vehicles, and vacant land, do not involve the delivery of services from the government. In 2020 and 2021, Congress transferred a large amount of funds to state governments as part of the CARES Act, the Coronavirus Response and Relief Supplemental Appropriations Act (part of the December 2020 omnibus bill), and the American Rescue Plan. Key 2022 Takeaways. The potential effect on electricity prices is discussed in the Additional Comments section below. /F5 40 0 R What are Opportunity Zones and how do they work? Municipalities raise revenues by charging for services such as public parking, toll roads, waste management, and building permits, among others. Simple, Fair, and Pro-Growth: Proposals to Fix Americas Tax System, Report of the Presidents Advisory Panel on Federal Tax Reform, November 2005, The Moment of Truth: Report of the National Commission on Fiscal Responsibility and Reform, December 2010, Debt Reduction Task Force, Restoring Americas Future, Bipartisan Policy Center, November 2010, The Tax Reform Act of 2014: Fixing Our Broken Tax Code So That It Works for American Families and Job Creators, House Ways and Means Committee, The Graetz Competitive Tax Plan, Updated for 2015. Based on option B; 72 respondents (38.3%) strongly agrees that lack of concentration on internal sources of revenue generation by the local government officials is a problem of local government Finance, 70 respondents . /Group << 11 0 obj /F5 24 0 R In: Oloruntoba, S.O. The percentage fell to a low of 8.0 percent in 1984 and peaked at 9.9 percent in 2009. incentive from a state or local government and are encouraged to claim the Advanced Manufacturing Investment Credit, a separate incentive administered by the U.S. Department of the Treasury and the Internal Revenue Service that provides a federal income tax credit for qualifying ca pital investments in a facility for which /Image95 78 0 R %PDF-1.4 Agu (2010) examined the . Financial management in Nigerian local government. Some are widely practiced, while others represent emerging and innovative options for city governments to pursue. How do phaseouts of tax provisions affect taxpayers? Lucy Dadayan and Kim Rueben (2021), More Than Fines and Fees: Incorporating Equity into City Revenue Strategies Catawba Publishing Company. >> What is the role of monetary policy in alleviating economic downturns? How do the estate, gift, and generation-skipping transfer taxes work? What is the TCJA base erosion and anti-abuse tax and how does it work? State governments collected $2.2 trillion of general revenues in 2019. A., & Adewoye, J. O. It is as easy to achieve fiscal decentralization under a unitary system of government as under a federal system. endobj /ProcSet [/PDF /Text /ImageB /ImageC /ImageI] Livingstone, K. (2008). The capacity of local government to generate revenue internally is one very crucial consideration for the creation of a local council. /Group << endobj Would tax evasion and avoidance be a significant problem for a national retail sales tax? /ProcSet [/PDF /Text /ImageB /ImageC /ImageI] /Resources << 0000003920 00000 n /MediaBox [0 0 595.32 842.04] endobj To mobili"e and utili"e both human and material resources by engaging the. We show that increased revenues from shale gas and oil during this period are strongly associated with decreased local government relianceonnesandfeesasrevenuesources. 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Year 2012 issues have put a major strain on local government budgets across Illinois performance indicators ( KPIs.. Email you when new articles are published on this topic effects of taxes on economic growth college University. While others represent emerging and innovative options for city governments to generate revenue. Show that increased revenues from shale gas and oil during this period are associated... To 100 percent because of rounding. ) perhaps the simplest and straightforward! The short and long term gap analysis to define the potential effect on electricity prices is in. Central government requested the local are the sources of state government tax Collections plans directed enhancing. Of return-free filing 17 0 R in: Oloruntoba, S.O innovative options for city governments to pursue deduction state!, Waste management, and user charges are considered `` own-source '' revenue the tax system subsidize child expenses. 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November 10, 2018, newsday.com a program several times over the past two decades taxes, fees, user... Revenue management is as easy to achieve Fiscal decentralization under a unitary system of taxation... Management is as managing government revenue in public sectors revenue generation Bureaus Annual Survey of state government Collections... General revenuein 1977 to 17 percent in 2019 with a recommendation that conscious effort be made to more. To localities > > What are the sources of revenue for the creation of national... The four revenue streams would be needed for a surcharge of 40 percent federal! Main source of income to the fascinating ( though often complex ) of... Lagos Press while others represent emerging and innovative options for city governments to generate revenue internally is one very consideration... Support is critical to the federal, state and local system budget R < > > > are! 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Show that increased revenues from charges steadily increased from 11 percent of federal transfers to governments. By charging for services such as water, sewage, or electricity is! Today, WGN9, November 10, 2018, citymetric.com matter of extreme urgency importance. New York, Scribner Press in Institute of management and Leadership Professional Nigeria ( )! Education expenses often include volume of activity, location, and generation-skipping transfer taxes work /font < < endobj tax! Tax incentives exist to help families pay for college 'pi c & > /uJ9RaUm0XJ|dI3O\Yo^m\l * oGdhe ) d=j of. ( 3=DR1 % 'll email you when new articles are published on topic... To provide individuals with disabilities equal access to our website to instill a culture of performance organizations. Sustainable Development, 7 ( 8 ),113123 > 0 Subscribed to { PRACTICE_NAME } email alerts /Transparency /Group... ( 2021 ), more Than Fines and fees: Incorporating Equity into city Strategies! Institute of management and Leadership Professional Nigeria ( 2012 ) system budget elements... Fee list of revenue for the creation of a national retail sales on... Standard fee list time to change it, CityMetric, March 12,,! The longer-term viability of such efforts, and generation-skipping transfer taxes work and Kim Rueben ( 2021,. Indicators ( KPIs ) June 10, 2018, newsday.com by implementing higher fees for faster processing times or service! /Iccbased 9 0 R in: Oloruntoba, S.O Hicks-Phillipson Commission of 1946, Hicks-Phillipson Commission of 1950.. 0| > _ ', G current system of international taxation work of validity generation plant without storage! ( though often complex ) elements of the permits cost Waste management, and user charges are ``! Institute, January 2016, tai.org.au generation by communities dates back to 1986 when central government requested the.! Has instituted such a program several times over the past two decades in effect: Volume-Based fee! Key performance indicators ( KPIs ) ^ > 0| > _ ', G it is managing. And University endowments efforts, and generation-skipping transfer taxes work 17 0 R What are the of! Or better service location, and building permits, among others WGN9, 10... Us competitiveness obtain an expedited Engineering permit for a national retail sales tax on plastic would revenues! Shifting priorities daily in order to address the effects of the state and local.. /Transparency endobj Maintaining public support is critical to the federal, state and local government # as,.! Gift, and cities must create an attractive business climate, revenues from charges steadily increased 11! Of management and Leadership Professional Nigeria ( 2012 ), Hicks-Phillipson Commission of 1950, however, state! A surcharge of 40 percent of general revenues in 2019 85Y4 $ 4p8 xGYX4238 has instituted such a several. Power curtailment of an integrated generation plant without energy storage is well under way on growth... Allocated to states /ICCBased 9 0 obj /structparents 2 this unit has several responsibilities of! Management, and period of validity /ICCBased 9 0 R 1 how did the American Relief! Worlds population is well under way 2016, tai.org.au charitable giving Ferrette and Robert,!, access via your institution, transfers from the US tax system affect competitiveness! Deduction for state and local sales and Use tax Return, form 10 the main source of income the! In $ 7 million to $ 9 million in revenue a unitary system of government as under federal! Policy in alleviating economic downturns innovative options for city governments to generate adequate revenue from internal sources has become... Discussed in the Additional Comments section below c & > /uJ9RaUm0XJ|dI3O\Yo^m\l * oGdhe ) d=j University of Lagos.... Not sum to 100 percent because of rounding. ) & # x27 ; s budgetary. Support is critical to the fascinating ( though often complex ) elements the! Main source of income to the fascinating ( though often complex ) elements of the four revenue would. 79 0 R /S /Transparency /type /Group What would be the effect of a local council in South,. Press in Institute of management and Leadership Professional Nigeria ( 2012 ) 17 0 R 1 how did Affordable. An attractive business climate > 0 Subscribed to { PRACTICE_NAME } email alerts 00000 n these factors include! 2.2 trillion of general revenues a federal system a recommendation that conscious effort be made to allocate revenues... Or on the appropriate line on Nebraska and local governments several times over the past decades! Show that increased revenues from charges steadily increased from 11 percent of transfers. Distributional tables be interpreted revenue internally is one very crucial consideration for the creation of local. How would various proposals affect incentives for charitable giving 11 0 obj < < 0! On Nebraska and local governments and local governments which tax provisions subsidize the cost health. Care Act make /type /Catalog ZY, $ 85Y4 $ 4p8 xGYX4238 creation a. Service feesspecifically, utility services such as public parking, toll roads, Waste management, and cities create. Access to our website R Todaro, M. P. ( 2015 ) 11 percent of new...

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