ABSTRACT
Despite the
fact that Income tax administration was enacted to promote Small Business
Enterprises, they have continued to perform poorly which has triggered this
research on effect of tax revenue on the profitability ofbusiness organization
in Abia State. The research formulated four specific objectives; to evaluate
the effect ofthe income tax on profit after tax ofthe selected firms in Abia
State, to evaluate the effect ofthe income tax on return on asset ofthe
selectedfirms in Abia State and to evaluate the effect ofthe income tax on
netprofit margin ofthe selectedfirms in Abia State. Thus, research questions
and research hypotheses were structured in accordance with the specific
objectives. In a bid to achieve a meaningful research study work, this research
will review related literatures on the effect oftax revenue on the
profitability which were subdivided into three subheadings such
conceptualframework, theoreticalframework and empirical review. However, in the
quest to perfect this research; ex-facto research design was adoptedwere data
was sourced secondarily through annual report of 7up bottling company PLC,
Nigeria Breweries which serves as the instrument. The data sourced covered the
range of2007 - 2017. Simple regression statistical technique based on E-view 8
was used to analyze the data collected. Thus, the followingfindings were made
based on the analysis that income tax has a significant impact on profit after
tax of7up bottling company PLC, Nigeria Breweries, that company income tax has
a significant impact on return asset of7up bottling company PLC, Nigeria
Breweries and that income tax has a significant impact on return capital
employed of7up bottling companyPLC, Nigeria Breweries. Sequel to the findings
and conclusion, the research made the following recommendations that 7up
bottling company PLC, Nigeria Breweries and other manufacturing companies
should employ the services oftax experts to aid them in taxplanning in other to
reduce the net taxpayment so as to increase theirfinancialprofitability. That
7up bottling company PLC and Nigeria Breweries and other manufacturing
companies should increase their asset size and ensure efficient use ofthose
assets to reflect in the production turnover ofthe companies. Finally, it is
recommended that government should reduce corporate tax rate because a
reduction in the corporation tax rate will increase the income to shift
toprofits which will directly has an effect on the return on capital. Thus, investors
are encouraged through increase in dividendpaid out.
TUNGBOWEI, T (2024). Effect of corporation tax revenue on the profitability of business Organization in Abia state. Nigeria:- Tungbowei Tamaraebi. Mouau.afribary.org: Retrieved Oct 30, 2024, from https://repository.mouau.edu.ng/work/view/effect-of-corporation-tax-revenue-on-the-profitability-of-business-organization-in-abia-state-nigeria-tungbowei-tamaraebi-7-2
TAMARAEBI, TUNGBOWEI. "Effect of corporation tax revenue on the profitability of business Organization in Abia state. Nigeria:- Tungbowei Tamaraebi" Mouau.afribary.org. Mouau.afribary.org, 08 Jul. 2024, https://repository.mouau.edu.ng/work/view/effect-of-corporation-tax-revenue-on-the-profitability-of-business-organization-in-abia-state-nigeria-tungbowei-tamaraebi-7-2. Accessed 30 Oct. 2024.
TAMARAEBI, TUNGBOWEI. "Effect of corporation tax revenue on the profitability of business Organization in Abia state. Nigeria:- Tungbowei Tamaraebi". Mouau.afribary.org, Mouau.afribary.org, 08 Jul. 2024. Web. 30 Oct. 2024. < https://repository.mouau.edu.ng/work/view/effect-of-corporation-tax-revenue-on-the-profitability-of-business-organization-in-abia-state-nigeria-tungbowei-tamaraebi-7-2 >.
TAMARAEBI, TUNGBOWEI. "Effect of corporation tax revenue on the profitability of business Organization in Abia state. Nigeria:- Tungbowei Tamaraebi" Mouau.afribary.org (2024). Accessed 30 Oct. 2024. https://repository.mouau.edu.ng/work/view/effect-of-corporation-tax-revenue-on-the-profitability-of-business-organization-in-abia-state-nigeria-tungbowei-tamaraebi-7-2