EFFECT OF TAX LEAKAGES ON ECONOMIC DEVELOPMENT OF NIGERIA
Keywords:
Tax Avoidance, Tax Evasion, Infant Mortality, Tax Leakage.Abstract
This study examined the effects of tax leakages on economic development of Nigeria during the period 2008-2017. Specifically, it investigated how tax evasion and avoidance influenced economic development measured by gross domestic product per capita, infant mortality and life expectancy. In pursuit of the objectives of this study, three hypotheses were formulated and tested using secondary data obtained from the Central Bank of Nigeria, Federal Inland Revenue Service, World Bank Statistical Bulletins and National Bureau of Statistics. This study is based on time series data. The Augmented Dickey Fuller was used to test the time series data for stationarity. Ordinary Least Square regression was employed in the analysis of the data. The findings of this study confirmed that tax leakage has a significant negative effect on economic development in Nigeria at 5% level of significance. On the basis of the findings, it was recommended among others that federal government should judiciously make use of tax proceeds to provide basic amenities for the citizens, such as health care, school and so on; as this would curb the rate of infant mortality and improve the rate of tax compliance among the tax payers.
Downloads
Published
Issue
Section
License
Copyright (c) 2019 Journal of Global Accounting
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.
Articles submitted to JOGA should not have been published or are currently under review by another Journal. Kindly see the guide for the preparation of the manuscript for details. Successful submission of articles by author(s) for publication clearly implies that the work is not an infringement of any existing copyright warranty as JOGA reserves the right to be indemnified by the author(s) where any breach of such warranty is proven. For ease of dissemination and to ensure proper policing of use, papers and contributions become the legal copyright of JOGA once published unless otherwise agreed.
Permission clearance should be obtained by the author(s) where applicable for the use of any content of interest not originally created by them. This must be done before the submission of the article to JOGA. Failure to do so may lead to a lengthy delay in publication, as JOGA is unable to publish any article which has permissions pending. Thus, the rights JOGA requires are:
- Non-exclusive right to reproduce the material in the article or book chapters.
- Print and electronic rights.
- To use the material for the life of the work (for instance, there should be no time restrictions on the re-use of material).
Where tables, figures or excerpts of more than 250 words are reproduced from another source, it is expected that:
- Author(s) should obtain the necessary written permission in advance from any third-party owner of the copyright for the use in print and electronic formats of any of their text, illustrations, graphics, or other material in their manuscript. Permission must also be cleared for any minor adaptations of any work not originally created by the author(s). The author (s) should not assume that any content freely available on the web is free to use.
- Where the author adapts a significant number of any material, the author(s) must inform the copyright holder of the original work.
- Author obtains any proof of consent statements
- The author must acknowledge figure(s) and content adopted or adapted in work utilizing source(s) and further capture them in the list of references.
Â
