Title: Revenue Implications of Nigeria'S Tax System
Abstract: This is a study of the properties of the Nigeria’s tax system particularly the bases of the company income tax, valueadded tax and personal income tax. The results indicate that their bases are not stable (not persistent and volatile).However, while the bases of the company income tax and personal income tax are more sensitive to cyclical swings(current state of the economy over time), that of the value added tax (VAT) is not. The policy implications of thesefindings support the recent government tax policy reform of a shift in focus in the tax system from direct taxation toindirect taxation. With the tax base of VAT being insensitive to the current state of the economy, the revenuetherefrom will not drop sharply when the economy slows down. It will also shield the government from budgetaryshortfalls as it will likely cushion against sharp declines in aggregate tax revenues. Keywords : Tax System, Company Income Tax, Value Added Tax, Personal Income, Tax Policy, Nigeria.
Publication Year: 2012
Publication Date: 2012-01-01
Language: en
Type: article
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Cited By Count: 17
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