TAXES AND NET INVESTMENT OF LISTED COMMUNICATION FIRMS IN NIGERIA

Authors

  • Samuel Oshiole Department of Accountancy, Nnamdi Azikiwe University, Awka, Nigeria
  • Pius Vincent C. Okoye Department of Accountancy, Nnamdi Azikiwe University, Awka, Nigeria
  • Nestor Ndubuisi Amahalu Department of Accountancy, Nnamdi Azikiwe University, Awka, Nigeria

Keywords:

Company Income Tax, Net Investment, Tertiary Education Tax, Value Added Tax

Abstract

 This study examined the nexus between taxes and net investment of listed Communication firms in Nigeria for eleven (11) years period spanning from 2012-2022. Specifically, this study ascertained the relationship between company income tax, tertiary education tax, value added tax, national information technology development levy and net investment. Panel data were used in this study, which were obtained from the annual reports and accounts of eight (8) listed Communication companies for the periods 2012-2022. Ex-Post Facto research design was employed. Inferential statistics using Pearson correlation coefficient and Panel least square regression analysis were employed to test the hypotheses of the study. The results showed that there is a significant but negative relationship between company income tax and net investment (β1 = -0.387363; p-value = 0.0000 < 0.05); a significant but negative relationship between tertiary education tax and net investment (β2 = -0.715158; p-value = 0.0001 < 0.05); a significant but negative relationship between value added tax and net investment (β3 = -0.276994; p-value = 0.0000 < 0.05); a significant but negative relationship between national information technology development levy and net investment (β4 = -0.605823; p-value = 0.0119 < 0.05). Conclusively, the study found a statistically negative relationship between taxes and net investment of listed Communication firms in Nigeria at 5% level of significance. The study recommended amongst others that the tax rate paid by firms should be reduced in order to discourage tax avoidance as VAT payers are ever willing to take advantage of loopholes in the tax system to reduce their tax liabilities

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Published

2024-04-26

How to Cite

Oshiole, S., Okoye, P. V. C., & Amahalu, N. N. (2024). TAXES AND NET INVESTMENT OF LISTED COMMUNICATION FIRMS IN NIGERIA. Journal of Global Accounting, 10(1), 132 –. Retrieved from https://journals.unizik.edu.ng/joga/article/view/3631

Issue

Vol. 10 No. 1 (2024): April

Section

Articles

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Copyright (c) 2024 Journal of Global Accounting

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