Measures to Ensure Effective Revenue Collection in States and Local Governments in Nigeria

Abstract

The paper examines the profiles and structures of States and Local 
Governments Revenue as reflected in taxes and levies collected by these two tiers of government in Nigeria. The paper also examines the various challenges facing the states and local governments in the Internally Generated Revenue (IGR) collection efforts. It also enumerated the measures that would ensure effective revenue collection in the states and local governments in Nigeria. The paper adopted the review of extant literature as the main instrument for the collection of relevant information, while participant observation method served as a useful tool for gathering information on the subject matter. The paper finds that the states and local governments depend heavily on revenue from the Federation Account for their survival. The revenue profiles and structures 
of states and local governments as contained in the 1999 Constitution (as Amended) are not adequate for their constitutional responsibilities. Besides this, there are numerous challenges facing the states and local governments in IGR collection. In spite of these challenges, there are several measures that would ensure effective IGR collection in states and local governments in Nigeria. The paper concludes that the challenges enumerated can be overcome if the right environment, attitude and processes are put in place by the states and local governments. Therefore, for the dream of an effective IGR collection to be realized, the paper further concludes that the states and local governments in Nigeria must put their acts together and develop the political will to overcome all the challenges constraining effective revenue collection in the states and local governments in Nigeria.