Effect Of Direct Taxation On Economic Growth Of Nigeria:- Omenihu, Vivian O

Abstract I viii i f The study examined the effect of direct taxation on economic growth ofNigeria. Specifically, the study aims to achieve the following objectives: to evaluate the effect ofcompany income tax on gross domestic product ofNigeria, to examine the effect of capital gain tax on gross domestic product ofNigeria, to examine the effect ofpersonal income tax on gross domestic product of Nigeria. The study adopted Ex-Post Facto research design and secondary sources of data collection was employed which was collectedfrom the Central Bank ofNigeria (CBN) Statistical Bulletin, internet andjournalpublicationsfortheperiod 1990-2019. The studyfound that company income tax has significant positive effect on gross domestic product ofNigeria, capital gain tax has no significant effect on gross domestic product ofNigeria, personal income tax has significant effect on gross domestic product of Nigeria, the following recommendation was made; since company income tax is a significant predictor ofgross domestic product in Nigeria, the policies ofcompany income tax should be reviewed to block the loopholes that encourage tax avoidance where most companies capitalize on to avoid tax, The administration and collection mechanisms ofcapital gains tax should be strengthened to ensure the tracking and collection ofthisform of tax in any part ofthe country where capital assets are disposed, an effective and reliable database should be created by the Federal Inland Revenue Service to record chargeable assets and chargeable persons to capital gains tax across the country to minimize or eliminate capital gains tax avoidance and evasion.