Effect of Corporate Tax on Government Expenditure in Nigeria

The study investigated the impact of corporate income tax on the government expenditure in Nigeria. Data on corporate income tax, value added tax, interest rate, gross domestic product, petroleum profit tax and consumer price index were collected and used as independent variable in the study while data on public expenditure were collected and used as independent variable in the estimated model. The ARDL bound test was applied and the result showed that corporate income tax have long run relationship that is significant with government expenditure. Other forms of tax such as value added tax and petroleum profit tax also have significant impact on government expenditure. The study concluded that corporate income tax should be sustained in order to ensure that government continue to fulfill her obligation of provision of social amenities that will promote the economic growth of the country.

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Tax Revenue and Economic Development in Nigeria

Advances in Social Sciences Research Journal ◽

10.14738/assrj.69.7109 ◽

2019 ◽

Vol 6 (9) ◽

pp. 312-321

Author(s):

Clement Olatunji Olaoye ◽

Ayobolawole Adewale Ogundipe ◽

Oladimeji Emmanuel Oluwadare

Keyword(s):

Economic Development ◽

Income Tax ◽

Unit Root Test ◽

Value Added ◽

P Value ◽

Value Added Tax ◽

Distributed Lag ◽

Long Run ◽

The Government ◽

The Impact

This study investigated the impact of taxation on economic development of Nigeria from 2003 to 2017.Vector Error Correction Model (VECM), Augmented Dickey-Fuller (ADF) unit root test, Autoregressive Distributed Lag (ARDL) bounds test, Jarque-Bera Normality Test and Eigenvalue stability condition were utilised in this study. The study revealed that companies’ income tax, petroleum profit and value added tax have a long run impact of -0.225(p-value=0.000),-0.0005 (p-value=0.699), and 0.211(p-value=0.000) respectively on the economic development of Nigeria.It was concluded that taxation has a significant long run relationship with Nigeria’s economic development. The study recommended that the government should not increase companies’ income tax rate because it is detrimental to the economic development of the country in the long run, instead the government should increase the value added tax because it has the potentiality to improve economic development of Nigeria. Also, the government should not concentrate effort on petroleum profit tax as it not significant on economic development of the country.

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The Nomenclature of Taxation in Nigeria: Implications for Economic Development

Journal of International Business Research and Marketing ◽

10.18775/jibrm.1849-8558.2015.44.3004 ◽

2019 ◽

Vol 4 (4) ◽

pp. 28-33

Author(s):

Amadi Kelvin Chijioke ◽

Alolote Ibim Amadi

Keyword(s):

Economic Development ◽

Income Tax ◽

Profit Maximization ◽

Value Added ◽

Least Square ◽

Tax Revenue ◽

Secondary Source ◽

Value Added Tax ◽

The Government ◽

The Impact

The paper analyzed the impact of taxation on economic development in Nigeria as it concerns value-added tax (VAT), Company Income Tax (CIT) and Petroleum Profit Tax (PPT). For the purpose of this study, the major source of data was a secondary source. Data were collected from the Central Bank of Nigeria Statistical Bulletin and Federal Inland Revenue Services. The data collected were analyzed with Ordinary Least Square Multiple Linear Regressions since there were more than two variables. The analysis revealed that all the independent variables (VAT, CIT and PPT) used in this study have a significant positive relationship on the dependent variable (GDP), which is used to measure economic development while value-added tax, company income tax, and petroleum profit tax were used to measure taxation. It was therefore recommended that the government should extend its database to capture all tax revenue by employing practically and technically oriented professionals. Results also imply it is recommended for the government to foster a favorable environment for young entrepreneurs to initiate and grow businesses that will lead to an increase in tax revenue for the government. It was also recommended that social science, which is the umbrella that covers management sciences, should be employed to manage businesses so as to ensure the survival of businesses and boast the nation’s revenue through tax, as it concerns training having an impact on resources utilization and allocation, thus promoting profit maximization.

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PENERAPAN TAX REVIEW SEBAGAI DASAR EVALUASI ATAS PEMENUHAN KEWAJIBAN PERPAJAKAN PPH BADAN DAN PPN

E-Jurnal Akuntansi ◽

10.24843/eja.2018.v22.i01.p10 ◽

2018 ◽

pp. 245

Author(s):

I Kadek Agus Setiawan ◽

Putu Ery Setiawan

Keyword(s):

Income Tax ◽

National Development ◽

Value Added ◽

Corporate Income Tax ◽

Measuring Instruments ◽

Value Added Tax ◽

The Subject ◽

The Difference ◽

Tax Reporting ◽

The Cost

Taxes as a source of state revenues are used as a source of funds for governments for national development and measuring instruments to regulate government policies. Taxation or tax review is a measure of all company transactions to calculate the amount of tax payable and predict potential taxes that may arise under applicable tax laws and regulations. This research was conducted at PT. KBIC which is engaged in cargo of Tax Year 2015. The purpose of this study is to determine the effect of the implementation of tax review of corporate income tax and value added tax. The method used in this research is descriptive comparative. Comparing the results of tax reporting by the company with the calculation of Corporate Income Tax and Value Added Tax at PT. KBIC tax year 2015 from the researcher in accordance with the applicable tax provisions in Indonesia. Based on the results of the research, the tax review of the Corporate Income Tax has found differences in the fiscal reconciliation report on the Office of Travel and Phone Charge accounts. Taxpayers make 100% corrections of the cost of mobile phones. It should be corrected cost of 50% of the cost should be. On the company's travel account, the company can not show the official report or notes in the assignment explaining the subject or purpose of the Overseas official's travel related to the company's principal activity that causes the difference of tax correction between the taxpayer and the researcher. Tax review conducted on Value Added Tax, the taxpayer has reported the fiscal reconciliation report correctly and there is no mistake.

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Tax Revenue, Tax Reform and Government Expenditure: The Case of Nigerian Economy (1994 – 2017)

Asian Journal of Economics Business and Accounting ◽

10.9734/ajeba/2020/v18i330283 ◽

2020 ◽

pp. 1-12

Author(s):

Chinedu Jonathan Ndubuisi ◽

Onyekachi Louis Ezeokwelume ◽

Ruth Onyinyechi Maduka

Keyword(s):

Income Tax ◽

Tax Reform ◽

Government Expenditure ◽

Value Added ◽

Series Data ◽

Tax Revenue ◽

Value Added Tax ◽

Tax Reforms ◽

Level Of Significance ◽

Excise Duties

The objective of this study is to empirically investigate the effect of tax revenue and years tax reforms on government expenditure in Nigerian. Tax revenue were explained using custom and excise duties, company income tax, value-added tax and tax reforms explained by the years in which reforms took place measured by dummy variables as proxies. In conducting this research, an annual time series data from central bank statistical bulletins and Federal Inland revenue Service of Nigeria spanning from 1994-2017 were employed. The data were tested for stationarity using the Augmented Dicker-Fuller Unit Root Test and found stationary at first difference. The Johansen co-integration test was also conducted and showed that the variables are co-integrated at the 5% level, which implied that there is a long-run relationship between the variables in the model. The presence of co-integration spurred the use of vector error correction model and VEC granger causality to determine the effects and decision for the study objective. Findings revealed that Customs and Excise Duties has positive (3.96) and significant (-8.38) impact on government expenditure at 5% level of significance (t=8.38>1.96), Company Income Tax has negative (-1.25) and significant (2.98) impact on government expenditure at 5% level of significance (t=2.98>1.96), Value added tax has positive (8.54) and significant (3.90) impact on government expenditure at 5% level of significance (t=3.90>1.96) and Tax reforms periods has negative(-3.52E+12) and significant (8.39) impact on government expenditure at 5% level of significance (t=8.39>1.96). The study thus concluded that tax revenue and tax reforms significantly affect the Nigerian economy with the direction of causation running from government revenue to government expenditure, supporting the revenue-spend or tax-spend hypothesis. It was recommended while seeking to increase its revenue base via tax should also increase their expenditure profile to create a balance with the tax revenue and every other tax reform should be geared towards this balance.

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PENGARUH PERTUMBUHAN EKONOMI TERHADAP PENERIMAAN PAJAK PENGHASILAN DAN PAJAK PERTAMBAHAN NILAI

Media Riset Akuntansi Auditing & Informasi ◽

10.25105/mraai.v7i1.972 ◽

2007 ◽

Vol 7 (1) ◽

pp. 83

Author(s):

Herman ,

Keyword(s):

Economic Growth ◽

Gross Domestic Product ◽

Income Tax ◽

Government Expenditure ◽

Value Added ◽

Value Added Tax ◽

Tax Collection ◽

Economy Growth ◽

Test Result ◽

Is Value

<p class="Style1">The purpose of this research is to find out the effect of economy growth toward tax collection, especially income tax andiralue added tax. The data covered from 1985 until 2005. Some variables included in this researdi such as: consumption, investment, government expenditure and import, and dependent variable is value added tax and income tax collection. The analyzing tools which used are nonnallytest, analyzing of variance, and goodness of fitand t-test. Result of analysis finds that the economy growth has significant effect to the income tax collection and value added tax collection.</p><p class="Style1">Keywords: Economic Growth, Gross Domestic Product, Income Tax, and Value Added Tax</p>

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Impact of Value Added Tax to Enugu’s Economy

Advances in Social Sciences Research Journal ◽

10.14738/assrj.811.11157 ◽

2021 ◽

Vol 8 (11) ◽

pp. 278-287

Author(s):

MARIA LUISA GONZALES ◽

FRIDAY ODE

Keyword(s):

Value Added ◽

The Philippines ◽

Tax Revenue ◽

Business Organizations ◽

Value Added Tax ◽

Goods And Services ◽

Descriptive Research ◽

Significant Relationships ◽

The Government ◽

The Impact

ABSTRACT Value-added tax is everywhere; it is in the most of goods and services we purchase. Take for instance; when we go to the salon to get our hair done, when we gas up our car, vat is also included in what we pay. In the Philippines, the value-added tax is a form of sales tax. It is a tax on the consumption levied on the sale, barter exchange, or lease of goods, properties, and services in the Philippines, and on importation of goods into the country, it is an indirect tax that may be shifted or passed into the buyer transferring lease of goods, properties or services. While in Nigeria, VAT is a Federal Government Tax that is administered using the existing machinery of the Federal Inland Revenue Services (FIRS). This study assessed the impact of value-added tax on Enugu Nigeria’s Economy, specifically to Government, Business Organizations, and Consumers, the problems identified, significant relationships, and the solutions recommended. The findings revealed that VAT has a significant impact on business organizations and consumers but positively on the part of the government. Recommendation for the improvement is for the consumer with low average earnings should be exempted in paying the VAT provided however, criteria must be set to exempt them in VAT. Keyword: Social Sciences, Impact, Value added Tax, Revenue, descriptive research design, Philippines

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Implementasi Kebijakan Pemungutan Pajak Atas Transaksi Perdagangan Melalui E-Commerce Di Indonesia

Jurnal Locus Delicti ◽

10.23887/jld.v2i2.462 ◽

2021 ◽

Vol 2 (2) ◽

pp. 60-72

Author(s):

I Kadek Beny ◽

Meilin Loviana Dewi

Keyword(s):

Income Tax ◽

Value Added ◽

Value Added Tax ◽

Tax Collection ◽

Public Facilities ◽

State Revenue ◽

Tax Laws ◽

Direct Compensation ◽

Directorate General ◽

The Government

Tax collection policy is a policy issued by the government in an effort to increase state revenue. Taxes are a taxpayer's obligation or a taxpayer's contribution to a state that is compelling without receiving direct compensation, but the tax is usually allocated to the construction of public facilities and the interests of the government of a country. With the existence of a policy regarding tax collection on trade transactions carried out online, it is hoped that there will be an awareness of taxpayers to carry out their obligations. The types of taxes that can be imposed or collected are the type of income tax (PPh) and the type of value added tax (VAT). With this tax collection policy, it is hoped that it can increase state revenue from the tax sector, especially taxes from online trade transactions by utilizing E-Commerce media. The government through the Directorate General of Taxes (DGT) has confirmed the E-Commerce transaction by issuing SE-62 / PJ / 2013 dated 27 December 2013 concerning the Affirmation of Taxation Provisions on E-Commerce Transactions, which states that there are no new taxes in E-Commerce transactions. commerce. Therefore, the seller or buyer can be taxed in accordance with the applicable tax laws. Taxes on E-Commerce transactions aim to apply justice to all taxpayers, both conventional and E-Commerce.

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FISCAL EFFECTIVENESS ASSESSMENT OF THE BUDGET-GENERATING TAXES IN UKRAINE

WORLD OF FINANCE ◽

10.35774/sf2021.02.066 ◽

2021 ◽

pp. 66-78

Author(s):

Olha ZAMASLO ◽

Maksym KOBYLNYK

Keyword(s):

Correlation Analysis ◽

Income Tax ◽

Value Added ◽

Corporate Income Tax ◽

Capital Investments ◽

Value Added Tax ◽

Excise Tax ◽

Tax Revenues ◽

Macroeconomic Indicators ◽

Business Entities

Introduction. A significant share of tax revenues in the revenue part structure of the Consolidated budget of Ukraine forms the grounds for assessing the economic efficiency of established taxes in order to make managerial decisions in the budget and tax management field at the macro level. Therefore, it is important to analyse the fiscal effectiveness indicators of taxes that form the tax revenues majority to the budgets of Ukraine, as well as to identify socio-economic factors that affect the size of such revenues. The purpose of the article is to analyse the fiscal effectiveness indicators of budget-generating taxes, to perform a correlation analysis of the tax revenues dependence on macroeconomic indicators and substantiate ways to increase the tax revenues sources to budgets of different levels. Results. The scientists’ approaches to the definition of the essence of the category “fiscal efficiency” were considered as well as was monitored the volume and structure of tax revenues to the Consolidated budget of Ukraine for 2015–2020. The factors of fiscal effectiveness were investigated and its assessment was carried out on the basis of data on the revenues of value added tax, personal income tax, excise tax and corporate income tax to the Consolidated budget using indicators of the fiscal significance of the tax in the budget, the fiscal significance of the tax in the state GDP and the ratio of the predicted and actual indicators of tax revenues. It was performed a correlation analysis of budget-forming taxes with macroeconomic indicators, as a result of which close relationship has been determined between the number of introduced types of innovative products and the volume of value-added tax revenues of goods (work and services) produced in Ukraine; the volume of revenues from corporate income tax and capital investments made by business entities, as well as between the volume of revenues from excise tax and the number of unemployed population in Ukraine. Based on the results of the investigation, there were proposed and substantiated the ways of tax reforms and directions of government measures to increase tax revenues.

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MEMAJAKI TRANSAKSI EKONOMI DIGITAL: STUDI KASUS DI INDIA, PERANCIS, DAN AUSTRALIA

Jurnal Pajak dan Keuangan Negara (PKN) ◽

10.31092/jpkn.v2i1.971 ◽

2020 ◽

Vol 2 (1) ◽

pp. 1-12

Author(s):

Suwardi . Suwardi ◽

Alan Budiandri ◽

Cinthya S. ◽

Ghifri N. A.

Keyword(s):

Literature Review ◽

Income Tax ◽

Value Added ◽

Regulatory Framework ◽

Value Added Tax ◽

Goods And Services ◽

Physical Presence ◽

Foreign Supplier ◽

The Government

The digital tax is imposed on the transaction of goods and services carried out with Domestic Taxpayers or with Foreign Taxpayers without a physical presence in Indonesia. To date, the existing regulatory framework makes it impossible for Indonesia to tax those transactions. Digital taxation concepts that can be applied by Indonesia include the Income Tax and Value Added Tax. Digital tax can also be done by using a new concept specifically regulating digital tax. Indonesia introduced VAT for the foreign supplier in the mid-2020. Data were obtained through a literature review of countries that had applied taxes on digital economic transactions before Indonesia. This paper is expected to provide input for the Government of Indonesia in taxing digital transactions.Pajak digital merupakan pajak yang dikenakan atas transaksi pertukaran barang dan/atau jasa yang dilakukan oleh sesama Subjek Pajak Dalam Negeri maupun dengan Subjek Pajak Luar Negeri yang keberadaan fisiknya tidak ada di Indonesia. Alternatif pemajakan digital yang dapat diterapkan oleh Indonesia diantaranya menggunakan konsep Pajak Penghasilan (PPh), Pajak Pertambahan Nilai (PPN) atau dapat pula dilakukan dengan menambahkan jenis pajak baru khusus mengatur pajak digital. Indonesia baru mengenakan pajak untuk jenis PPN atas transaksi digital pada pertengahan tahun 2020. Data diperoleh melalui tinjauan literatur atas negara-negara yang telah menerapkan pajak atas transaksi ekonomi digital sebelum Indonesia. Tulisan ini diharapkan dapat memberikan masukan bagi Pemerintah Indonesia dalam memajaki transaksi digital.

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