Tax Revenue and Nigeria’s Economic Growth

Abstract

The study examined the impact of tax revenue on Nigeria’s economic growth using CIT, VAT and PPT as referents for tax revenue and GDP for economic growth from 2008 to 2017. The exploratory design and ex-post fact design were adopted for the study. The study data were secondary data sourced from the CBN statistical bulletin. The least squared technique and the Granger Causality Test were employed in estimating the equilibrium relationship and the cause and effect relationship between the variables in the model respectively. The study showed a positive but insignificant relationship between the study variables. The study then concluded that poor management of tax revenue accounts for the insignificant relationship and then recommended that the government should efficiently and effectively manage and utilized tax revenue by using the proceeds to provide necessary social amenities and embark on aggressive infrastructure development to ensure economic growth.