Revenue Generation in Local Government Councils in Nigeria Essay

topical anaesthetic brasss are potentially very important for Nigeria as they play a significant role in generating revenue and further civil involvement, as well as creating a visible bond between taxes and service delivery. The increasing cost of running brass united with dwindling revenue has left various local anaesthetic governments in Nigeria with formulating strategies to modify the revenue base. Despite the numerous sources of revenue available to the various tiers of government as specified in the Nigeria 1999 constitution, since the 1970s till now, over 80% of the annual revenue of the three tiers of government comes from petroleum.However, the serious decline in the price of oil in recent years has led to a decrease in the funds available for distri entirelyion to the recites and local governments. The unavoidableness for state and local governments to generate adequate revenue from internal sources has consequently become a matter of extreme urgency and importa nce. The need underscores the avidness on the part of state and local governments and even the federal government to look for new sources of revenue or to become aggressive and innovative in the mode of collecting revenue from quick sources.The general continue over the seemingly slow development of the rural areas in Nigeria has created a doubt as to the relevance of local governments in Nigeria whose primary portion was to effect a representative government faster to all areas of the state land. Inadequacy of funds for various developmental projects stands as the cause for these shortcomings in spite of the increasing revenue allocation from the Federation accounts to the local governments. Hence the precedent for the various avenues granted the local governments to generate revenues themselves.This essay is being carried reveal to appraise and evaluate revenue extension in the local governments, curiously the internally generated revenue (IGR) to point out its adequaci es, inadequacies and give recommendations where necessary. It study seeks to- * make the various sources of internal revenue available to local government council * To regard the prospect of up(a) the internally generated revenue of local government council * maculation of factors militating against effective revenue collection in the local government and * pro puzzle solution to identified problems.Good governance is good money. Revenue contemporaries can play a significant role in improving local government efficiency and reducing local government dependency. This essay would provide positive suggestion on how to improve the financial position of the local government councils. Secondly, it give provide useful suggestions on how to in effect manage problems of revenue generation. Thirdly, it will provide useful suggestions on the budgetary control system the council can embark upon. Lastly, this work will dish researchers, individuals, organizations, higher levels of govern ment and also local government councils on how to modify them meet their obligations.The theory of public finance is a field of political economy that is concerned with paying for collective or governmental activities, and with the administration and conception of those activities. The proper role of government provides a starting point for the abstract of public finance. In this view, public sector programs should be designed to maximize social benefits minus costs, then revenues needed to pay for those expenditures should be raised(a) through a taxation system that creates the fewest efficiency losings caused by distortion of economic activity as possible. In the alight of the above, the focus of this essay is on revenue generation in local government councils with particular reference to Ikenne local government, Ikenne. This work will squeeze an examination of the internal and statutory source to the total revenue. This work was mean to cover all the twenty (20) local gove rnment in Ogun State, but because of limited time frame and the unavailability of some records due to neglect on the side of the staff, the focus will be on Ikenne Local Government only.This work will begin with the intention of developing an sign understanding of the opportunities and potential for revenue generation. To do this, the revenue generation constraints approach by local governments, perceptions of local governments, the importance of revenue, various revenue generation and service delivery will be appraised. This study will draw data from both primary and secondary sources. The data from primary sources will include those obtained from personal interviews. Secondary data would be obtained from budget speeches of council chairman, existing records in the council, journals, and CBN annual financial publications.