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SOURCES AND USES OF LOCAL GOVERNMENT FUNDS IN NIGERIA: EVIDENCE FROM LERE LOCAL GOVERNMENT AREA OF KADUNA STATE
Abstract: – Local government is that level of government nearest to the people. It is said to be the cornerstone of the government system in any country. The federal government believes that it is only through an effective local government system, that human and material resources of the nation could be mobilized. The research work aimed at analyzing the sources and uses of local government funds in Nigeria using Lere local government area of Kaduna state as a case study, with emphasis on the internally generated revenue. The work is a survey design and secondary data obtained from records available to the local government finance department. The time series covers the period of five (5) years from 2010 – 2014. The data were analyzed using chi – square statistical tool, the current trends of ineffective tax administration and negligence on the part of revenue collectors is considered as a major problem for local government internally generated revenue. The research recommended that the local government should strive towards improving internally generated revenue and adopt enlightenment campaigns.
Key words: Internally Generated Revenue, Externally Generated Revenue