Evaluation Of Strategies For Improving The Assessment And Collection Of Taxes From Self Employed Tax Payers In Nigeria (A Study Of Imo State BIR)

ABSTRACT

The huge sum of tax revenue lost by governments in the informal economic sector over the years has been a subject of concern to the researcher. It is on this background that an inquiry into the strategies for improving the assessment and collection of taxes from self-employed taxpayers in Nigeria is conducted, using both a survey-descriptive and longitudinal designs. First-hand data collected from 210 respondents, and data from the Imo State Board of Internal Revenue on approved tax estimates and actual tax collected for five fiscal years are statistically analysed, employing descriptive statistics, student’s t-test, and Pearson Product Moment Correlation techniques. The result reveals that Stiffer penalties for non-compliance, cubbing corruption among tax officials and good governance in government among others are very strong measures for improving tax assessment and collection from the self employed tax payers, after establishing at 5% sign significant level that there is significant difference between approve tax estimates and actual tax collected from self-employed taxpayers with t = 3.3. The study therefore, concludes that to maximize total tax revenue, a special tax court should be introduced to enhance quick prosecution of tax defaulters and erring tax officials, and that adequate basic amenities should be provided for the people as a direct appeal to taxpayers consciences for tax compliance.