INFLUENCE OF TAX REVENUE ON PER CAPITAL INCOME IN NIGERIA FROM (1994 - 2023)

EZEH, FAVOUR NORAH (2026) INFLUENCE OF TAX REVENUE ON PER CAPITAL INCOME IN NIGERIA FROM (1994 - 2023). Other thesis, Godfrey Okoye University, Enugu.

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Abstract

This study examined the influence of tax revenue on per capita income in Nigeria, focusing on how major tax components affect citizens’ per capita income. Specifically, it assessed the effects of Companies Income Tax, Value Added Tax, Customs and Excise Duties, and Personal Income Tax on Per Capita Income. The study was anchored on the Benefit Theory of Taxation and employed an ex post facto research design using annual secondary data from 2010 to 2024. Per Capita Income served as the dependent variable, while the four tax revenue components were the independent variables. Natural logarithms were applied in the econometric analysis. The Augmented Dickey-Fuller unit root test showed that all variables were non-stationary at level but stationary at first difference, confirming that they were I(1) series. The Autoregressive Distributed Lag model was estimated as ARDL(1, 1, 1, 2, 3). The bounds test confirmed a long-run relationship among the variables, with F = 5.1195 exceeding the 5% upper bound of 3.7914. The error correction coefficient was negative and significant, indicating that 47.05% of short-run disequilibrium was corrected yearly. Diagnostic tests confirmed no serial correlation, no heteroskedasticity, and normally distributed residuals. Long-run results revealed that Companies Income Tax and Value Added Tax had positive and significant effects on per capita income. In contrast, Customs and Excise Duties and Personal Income Tax had negative and significant effects. The study concluded that tax revenue components affect per capita income differently in Nigeria and recommended stronger tax administration with tax proceeds directed toward welfare- enhancing public investment.

Item Type: Thesis (Other)
Subjects: H Social Sciences > HG Finance
Divisions: Faculty of Management and Social Sciences
Depositing User: Uchenna Eneogwe
Date Deposited: 20 Jul 2026 14:15
Last Modified: 20 Jul 2026 14:15
URI: http://eprints.gouni.edu.ng/id/eprint/5887

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