Effect of Tax Policies and Reforms on Consolidated Revenue Funds in Nigeria
- Post by: airjournals
- May 28, 2022
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ABSTRACT
The study examined the effect of tax policies and reforms on consolidated revenue funds in Nigeria. Company income tax, value-added tax, and petroleum profit tax formed the independent variables of the study, while consolidated revenue fund was the dependent variable. The study adopted an ex-post-facto research design, covering the period between 2011 and 2019. Secondary data were extracted from the Central Bank of Nigeria Statistical Bulletin. Multiple regression techniques were used for the data analysis. In line with the specific objectives of the study which is to ascertain the effect of company income tax, value added tax, and petroleum profit, it was revealed that all the explanatory variables have a positive and significant effect on consolidated revenue fund in Nigeria. This implied that all the explanatory variables can be used to predict consolidated revenue fund in Nigeria. It is recommended therefore that the tax revenue collected from companies in Nigeria should be increased to provide funds for government. Tax policies and reforms should enable tax collection agencies and boards of the government the tools and strategies to ensure that all taxable companies pay their tax as at when due. They should devise a strategy to avoid tax evasion and avoidance. They should seriously find a means to increase their value-added tax revenue collections as such will increase consolidated revenue fund and economic growth. They should ensure that no loopholes were in the tax policies and reforms that will be utilized by oil and gas companies to avoid or evade tax in Nigeria.
Keywords: Tax Policies and Reforms; Consolidated Revenue Funds; Income Tax
Authorship
1Ebisi, Lilian Njideka, 2Prof. Oliver Ike Inyiama and 3Ezeugo, Cynthia Chiegeonu PhD | FULL PDF