ABSTRACT

 The study examined the impact ofthe effect ofpetroleum profit tax (PPT) on economic growth in Nigeria. The specific objectives were to determine the effect ofpetroleum profit tax (PPT) on gross domestic product in Nigeria and to ascertain the effect ofpetroleum profit tax (PPT) on total tax revenue in Nigeria. The adopted ex-postfacto research design. The data sourcedfrom CBN Statistical Bulletin was analyzed using simple regression analysis. The result revealed that petroleum profit tax has positive and significant effect on gross domestic product ofNigeria and hence economic growth which bring development and that petroleum profit lax has significant positive effect on the total tax revenue ofNigeria. The study recommend that government should transparently andjudiciously account for the revenue it generates through PPT by investing in the provision of infrastructure and public goods and services as it is expected that the more effectively and efficiently revenue is utilized by Government to create growth, employment opportunities and wealth in the economy, the more willing taxpayers would be to meet their obligations to the government and discharge their duties in the overriding goal of achieving National Development.