Question Tag: Public Sector Revenue

Irepodun State is inhabited by 8,000,000 citizens. The State is expected to generate revenue from different sources. The following details are provided for the 2015 fiscal year:

(i) The number of taxable adults residing in the State is 3,500,000. The rate of tax payable per resident is N20,000 per taxable adult on average per annum.
(ii) There are 22,500 industries which are expected to pay land use charges of N10,000 per industry.
(iii) There are 2,300,000 residential buildings expected to pay land use charge of N4,500 per house per annum.
(iv) The modern markets built by the State Government will generate N12,000 per annum per stall and N5,000 per annum per seller and hawker operating in the markets. There are 3,000 modern stalls and 250,000 sellers and hawkers assumed to operate in the markets each year. The local governments within the areas of the markets’ location are entitled to 50% of revenue generated from the markets.
(v) There are 5,000 mass transit buses owned by the State Government, each of which generates N5,000 per business day. Assume 28 business days in a month.
(vi) The State expects the following additional revenue in the year:

Required:

Compute the revenue budget of Irepodun State Government for the fiscal year 2015.