Chukwu, Edith (2026) EFFECT OF TAX EVASION AND AVOIDANCE ON FEDERALLY COLLECTED REVENUE IN NIGERIA. Other thesis, Godfrey Okoye University, Enugu.
Full text not available from this repository.Abstract
This study examined the effect of tax evasion and avoidance on federally collected revenue in Nigeria from 1990 to 2024. Specifically, it analyzed the impact of estimated annual revenue loss from tax evasion and avoidance, relative tax gap, and shadow economy size on government revenue, while controlling for gross domestic product, inflation, and exchange rate. Secondary data were obtained from relevant government agencies and analysed using descriptive statistics, correlation analysis, unit root tests, and Ordinary Least Squares (OLS) multiple regression analysis. The results revealed that estimated annual revenue loss significantly and positively affects federally collected revenue, indicating that periods of higher revenue loss often coincide with higher nominal collections. In contrast, the relative tax gap showed an insignificant effect, while shadow economy size had a significant negative effect on revenue, confirming that informality undermines government tax mobilisation. The findings suggest that Nigeria’s revenue performance is driven more by macroeconomic growth and enforcement intensity than by reductions in tax evasion and avoidance. The study concludes that enhancing tax administration, reducing the shadow economy, and promoting the formalisation of informal activities are critical for improving federally collected revenue. The study suggested that the government should strengthen digital tax systems, broaden the tax base, and implement policies that encourage compliance while reducing informality.
| Item Type: | Thesis (Other) |
|---|---|
| Subjects: | H Social Sciences > H Social Sciences (General) |
| Divisions: | Faculty of Management and Social Sciences |
| Depositing User: | Uchenna Eneogwe |
| Date Deposited: | 31 Jul 2026 10:34 |
| Last Modified: | 31 Jul 2026 10:34 |
| URI: | http://eprints.gouni.edu.ng/id/eprint/6112 |
Actions (login required)
 |
View Item |
