Revenue sharing among the sub-national governments modified formula by Pawan K. Aggarwal

Cover of: Revenue sharing among the sub-national governments | Pawan K. Aggarwal

Published by National Institute of Public Finance and Policy in New Delhi .

Written in English

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Edition Notes

Book details

StatementPawan K. Aggarwal, D.K. Srivastava.
SeriesNIPFP working paper ;, 1/94, NIPFP working paper ;, no. 94/1.
ContributionsSrivastava, D. K., National Institute of Public Finance and Policy (India)
LC ClassificationsMicrofiche 94/60228 (H)
The Physical Object
Pagination22 p.
Number of Pages22
ID Numbers
Open LibraryOL1254496M
LC Control Number94904469

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In addition to resource revenue transfers, the national government may transfer resource revenues to subnational governments through regular intergovernmental transfers. The amount that is distributed to subnational governments varies from country to Revenue sharing among the sub-national governments book.

Some are based on formulas and some on budget Size: KB. Bruce A. Wallin now offers the only complete history of the General Revenue Sharing program ― why it passed, why state and local governments used it the way they did, and why it died.

He examines its unique role in the history of U.S. federalism and explores its relevance to intergovernmental aid policy at the turn of a new century.4/5(1). Revenue sharing. Revenue sharing, a government unit’s apportioning of part of its tax income to other units of government.

For example, provinces or states may share revenue with local governments, or national governments may share revenue with provinces or states. The NDP government says a revenue-sharing agreement with First Nations announced in Tuesday's provincial budget is a historic step toward reconciliation.

Some First Nations groups say the. of the recognition of sub-national governments during which financial responsibilities were devolved to the three regions- North, West and East. Revenue Allocation Arrangement 4. In Julythe ‘Modification Order ’ provided for distribution as follows: FGN %, States %, LGAs % and derivation 13% (Mineral revenue only).

TheFile Size: KB. One of the oldest models for responsibility and revenue assignment and sharing among different tiers of government is the Tiebout-Musgrave layer cake model (Musgrave, ; Tiebout, ).

Under the model, stabilization and distribution functions are natural functions of the central government while lower tiers of government take on resource allocation. Given that sub national governments do not haveFile Size: KB.

On average, revenues through the tax revenue-sharing mechanism and intergovernmental fiscal transfers from the centre finance up to 50% of sub-national government expenditure (World Bank ). China’s decentralization and intergovernmental system gives unusually high discretionary power to provincial governments and imposes a significant Cited by: The authors propose a quantitative methodology to guide governments’ decisions when choosing among the fiscal support mechanisms.

Based on a comprehensive literature review, we establish a two-dimensional framework to evaluate fiscal support alternatives by comparing their effects on the financing costs of a project and the risk retained by a. tiers of government—currently percent of the resources are transferred to the federal government, 24 percent to the state governments, and 20 percent to the LGAs.1 The sub-national tiers of government are now demanding that their respective shares be substantially increased.

Size: KB. Revenue sharing is a somewhat flexible concept that involves sharing operating profits or losses among associated financial actors. Revenue sharing can exist as a profit-sharing. The public revenue sharing scheme regulates the distribution of tax revenues among the federal, state and local governments and that of transfers from the federal level.

Sub-national governments manage local affairs on behalf of national governments. U.S. states often delegate local responsibility and authority to cities, counties, townships and special purpose districts. The autonomy of states or provinces will depend if the overall system of government is federal or unitary.

Revenue sharing laws are full of loopholes. In Maine, the law calls for 5 percent of state income and sales taxes to go to local governments. Last year, that amounted to $ million.

The introduction of federal general revenue sharing in signaled the shift from categorical to block grants. Local government was thus provided with more control over the disposition of its federal monies, but with a reduced amount available, beginning in the second half of the seventies.

The federal revenue sharing program expired in Profit-Sharing in Government Contributor Ken Miller draws from his latest book to explain how management-by-fear accountability systems rarely work and produce devastating side effects.

Among them were the former Representative Melvin Laird, who advocated revenue-sharing in ; Senator Barry Goldwater, the Republican Presidential nominee inand two Democratic Presidential. As such, resource revenue sharing systems often lead local governments to over-spend on conspicuous infrastructure projects such as fountains and ostentatious government buildings, and under-invest in healthcare and education.

Derivation-based systems are the most common type of resource revenue sharing, as the map below shows. In most of the provinces (16 of 22 provinces), no evidence points to any changes in the de-jure revenue and expenditure assignment to the county governments.

11 For the rest of the provinces (i.e., Hebei, Shandong, Sichuan, Yunnan, Shaanxi, and Hunan provinces), there are general statements in the PMC documents implying changes in revenue Cited by: share revenue between the governments of that federation.

Revenue sharing among the regions/states in the Federal Republic of Nigeria--the focus of this paper—has been a thorny issue in the political and economic development of the country. Revenue sharing policies haveAuthor: Sule A.

Sarumi. The Federal Government “shares” its tax revenue with each state used during the administration of Nixon. 3 reasons for using revnu sharing. Solves states money isues. States decide use of money. States no longer have to tax the very poor. Revenue sharing is the distribution of revenue, that is the total amount of income generated by the sale of goods and services, among the stakeholders or contributors.

It should not be confused with profit shares, in which scheme only the profit is shared, i.e., the revenue left over after costs have been removed, nor with stock shares, which may be bought and sold and whose value may fluctuate.

Ghana EITI therefore decided in its EITI Report to include data on sub-national transfers and payments, as well as how the revenue is used. The Standard The EITI Standard requires disclosure of material transfers from the central government to sub-national entities if the transfers are mandated by a national constitution, statute or.

Act (General Revenue Sharing) which promised to return more than 30 billion dollars in federal tax revenue to state and local governments over a five-year. States are being cut off just at the time they most need federal assistance. Revenue sharing would be a winning strategy for the economy and for Obama.

Our policymakers continue to believe that they must first ‘get credit flowing again’ to restore output and employment. Unfortunately the reverse is the case: restoring output and employmentAuthor: Roosevelt Institute. Revenue sharing, which started indistributed $ billion to 39, municipalities in the fiscal year It affected more local governments than any Federal program in.

For Botswana, Lesotho, Namibia and Eswatini (BLNE), the SACU revenue share makes up a significant component of total government revenue – even more than half in some years for Lesotho and Eswatini. BLNE get a significant share of their revenue from the Customs Component, whilst South Africa gets more that 90% of its share from the Excise.

TAX POLICY CENTER BRIEFING BOOK The State of State (and Local) Tax Policy What are the sources of revenue for state governments. 0% 20% 40% 60% 80% % Source: Urban-Brookings Tax Policy Center. Revenue allocation can be described as a method of sharing the centrally generated revenue among different tiers of government and how the amount allocated to a particular tier is shared among its components for economic by: 4.

reappraisal of revenue sharing, revenue sharing and the city 3 () [hereinafter cited heller, sympathetic reappraisal]. pechman, financing state and local governments, 2 revenue sharing and its alternatives: what future for fiscal federalism, 90th cong., 1st. The results show that tax revenue sharing fund and natural resources revenue sharing fund impact positive and significant on the income disparity among the provinces in Indonesia, while the.

What is revenue sharing and how does it work. That’s a great question and one I get asked frequently. It’s relatively easy to understand once you know how retirement plan fees — or (k) plan administrative fees — are collected. So, let’s do a quick refresher on.

Federal Grants to State and Local Governments: A Historical Perspective on Contemporary Issues or general revenue sharing), and crafts legislation to accomplish its purpose, incorporating the chosen grant instrument.4 As with all state to allocate available funds on a competitive basis among local governments or other eligible File Size: 1MB.

One of the key pillars of a successful customs union is a well-functioning revenue-sharing formula that ensures an equitable and acceptable allocation of funds among the participating countries.

SACU operates as a customs union of South Africa, Botswana, Lesotho, Namibia and Swaziland under a renewable agreement, and is governed at present by.

In today’s competitive higher education market more schools are turning to online education to provide alternate revenue and growth. According to a recent poll from the National Center for Education Statistics, 25% of college and university students are taking some form of distance education courses.

Colleges and universities often partner with third party entities, known [ ]. The process by which one unit of government yields a portion of its tax income to another unit of government, according to an established formula. Revenue sharing typically involves the national government providing money to state governments.

ANCSA has provisions for natural resource revenue sharing among the original 12 Alaska Native regional corporations. Doyon receives 7(i) revenue from shared earnings from the other corporations and distributes a portion of the monies called 7(j) payments to At-Large (Class B) shareholders and to the village corporations within the Doyon region.

Sub-national revenue sharing is often made more imperative as extractive resources are often They provide that revenue raised nationally shall be shared equitably among the national and county governments and that in sharing of revenue there shall be File Size: KB. PROECT TOPIC: THE SOURCES OF REVENUE AND EXPENDITURE IN LOCAL GOVERNMENTS includes abstract and chapter one, complete project material available THE SOURCES OF REVENUE AND EXPENDITURE IN LOCAL GOVERNMENTS.

TABLE OF CONTENT CHAPTER ONE INTRODUCTION BACKGROUND OF THE STUDY STATEMENT OF PROBLEM. Intergovernmental Finance in South Africa: Some Observations M. Govinda Rao Abstract This paper examines the evolution and functioning of fiscal decentralisation process and intergovernmental finance in the Republic of South Africa (RSA).

It analyses the system of dividing revenues among the three spheres of government. The paper highlights the. The Kenya Devolution and Revenue Sharing Calculator shows how resources are being allocated to Kenya’s different county governments based on the agreed upon revenue.

Type of government in which power is held by independent states, central government is a product of constituent governments Unitary System system of government in which sovereignty is wholly in the hands of the national government, so that the state and local governments are dependent on its will.Table 1 gives a breakdown of (1) the total federal revenue sharing funds generated and (2) state expenditures made since inception of the pro­ gram.

Local California governments receive about twice as much as the state government. The decrease in estimated funds available for is based on the fact that the revenue sharing act is due to.Federalism is the political system in which local units of government and a national government make final decisions with respect to at least some governmental activities and whose existence is specially protected; both local and national forms of government have their own sovereign powers and some powers that overlap, thus making the two share.

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