ABSTRACT

The basis of this research project is the Impact of tax incentive on economic and industrial development. A review of related literature was extensively made in Chapter Two of the work to cover the relevant aspects of the topic. In this regard, the empirical studies carried out by others were assembled to comprehensivety address this issue. The population sample size of the study is 286, which is fully representative of the research population. The instruments used in data collection for the purpose of this study comprised the following: the questionnaire, personal interview, observations, textbooks, seminar papers, articles and the internet. Two of the findings made from the study are stated thus: (1) Tax incentive has an effect on the level of investment in the economy. (2) Tax incentive reduces government revenue. In addition, two of the recommendations advanced for the purpose of economic and industrial development through tax incentive in Nigeria are noted as follows: (1) The Federal Inland Revenue should ensure that tax is computed and collected at the right time. (2) Measures should be put in place to forestall the activities of tax payers to employ tax avoidance and tax evasion as a means of paying little or no tax.