Please enable JavaScript.

Coggle requires JavaScript to display documents.

Source of revenue for Federal,State & Local Government. - Coggle…

- - - - Direct tax
        
        Paid directly to the government by the person or company
        
        Example: Income tax
      - Indirect tax
        
        Taxes can be passed on to another entity or individual
        
        Example: Sales tax
  - - - Example: At hospital people will pay to get the service
- - - - Payable under Article 109 of the Federal Constitution. Which is have:
        
        • Capitation Grant
        
        (PART I) The more population each state has, the more habitation that state will get
        
        • State Road Grant
        
        (PART II) Grant given by the Federal Government towards the state government in order to help them to maintain the state vote
        
        • State Reserve Fund
        
        is not automatic, not compulsory. This is upon application from the federal government. This is to assist the state government for them operating expenditure.
      - Approved by National Finance Council which is grant for infrastructure.
        
        Where the grant needs to be approved by national finance council before it has been given to the state government.
      - Payable under various act of the Parliament which revenue growth grant
        
        Provided to the State Government if the federation's revenue increases by more than 10% in any financial year.