Abstract:
This research was carried out in order to examine the effects of internally generated revenue on revenue growth of Lagos state. Revenue generation is very necessary in the economy for the economy to grow. Revenue has so many definitions based on different business. The growth of the revenue sector depends on the internally generated revenue. The research work used the benefit
theory which say that the principle of benefits claims that people should be asked to pay taxes in proportion to the benefits they earn from the government's service. Also we used endogenous growth theory and public expenditure theory.
Secondary data was used and was sources from the National Bureau of Statistics, Lagos state data budget book, and other related research works. This study used an ex-post factor research design to gather data for the period of 2004-2018. Linear regression analysis was used to test the three research hypothesis. The probability level was set up at 5% significance. The study population consist of the whole state of Lagos. Internally generated revenue does not have a significant relationship with revenue growth in Lagos state with a significance level of 0.379 (p<0.05). Human development index does not have a significant relationship with revenue growth in Lagos state with a significance level of 0.269 (p<0.05).Consumer price index does not have a significant relationship with revenue growth in Lagos state with a significance level of 0.367 (p<0.05). In
conclusion the study concludes that there is no significant relationship between internally
generated revenue and revenue growth in Lagos state. This study recommends the further research is recommended on investigation of the application of IGR on government expenditure in comparison with the IGR inflows in all the states and local governments in Nigeria.
