Tax evasion and tax avoidance in nigeria pdf

To analyze the various causes of tax evasion and avoidance. Effect of tax avoidance and tax evasion in personal income tax. The existence of tax evasion and tax avoidance in nigeria tax. An empirical analysis of tax leakages and economic growth in. Tax evasion is one of the major social problems hindering revenue generation in developing state and eroding the existing welfare in oyo state. This section defines the activities of tax avoidance and tax evasion that.

Tax evasion and tax avoidance as opine by adebisi and gbegi 9 are one of the main problems of tax system in nigeria and africa and are described as twin devils which cause the difference between actual corresponding author. Tax evasion on the other part is illegal and frowned at by every government and patriotic citizens and as a matter of fact punishable under our laws. Both the two are not acceptable but the later is less. Nigerian tax system as well as africa is the problem.

The problem of tax evasion and tax avoidance in nigeria. It is in light of the foregoing that the various tax regimes provide for the punishment of tax evasions in nigeria. An empirical study of tax evasion and tax avoidance. Pdf tax evasion and the law in nigeria researchgate. To identify the factors or problems militating against the tax assessment and collection in nigeria. The effect of tax evasion and avoidance on nigerias. Pdf tax evasion and avoidance are both phenomena that are probably as old as taxation itself. The study adopted the expost facto research design and. This has led to a growing attention among policy makers and scholars.

To identify possible effects of the tax evasion and avoidance on the economic development of the country and abia state in particular. If the cost of evasion and avoidance depends on other aspects of behavior, the choice of consumption basket and avoidance become intertwined. Literature revealed that tax avoidance and evasion. This research project is a very crucial study on the effects on tax evasion and avoidance on nigeria economy. This brings about reactions from various sections of the economy. Abdulhamid ellawule, lecturer, department of accounting, federal university, gashua, nigeria.

Impact of tax evasion and tax avoidance in nigeria economy. The avoider is just smart tax payer who exploits loopholes in the tax laws and related laws to reduce tax liability ezeanyeji, 2015. Akinyomi and okpala 20 examined the factors that are influencing tax evasion and tax avoidance in nigeria. The study revealed that there is no significant relationship between economic growth and tax evasion and tax avoidance in nigeria, the work also revealed that.

Generally speaking, most nigerians are unwilling to pay taxes. Most individuals eligible to pay tax are not usually amenable to doing so willingly thereby resulting in tax evasion and tax avoidance. Thus tax avoidance takes the advantages of the loopholes in the existence fiscal laws. However, little attention has been placed on the issues of tax evasion in nigeria. Chapter 8 tax avoidance and tax evasion iarc publications. This paper examined the impact of tax evasion and avoidance on growth of the nigerian economy. The results of the analysis revealed that the low quality of the service in return for tax does significantly influence tax avoidance and evasion in nigeria. Tax evasion and tax avoidance, a problem which seems to have defied solution, had been deviled.