Tax Administration in Nigeria’s Local Government: Constraint of Internally Generated Revenue
Keywords:tax revenue, administration, compliance, taxpayer
The objective of this Paper is to determine the constraint confronting local government’s tax administration and internally generated revenue empirically. The scope of the study is Gombe State Nigeria. The study is quantitative study that employed survey questionnaire. Three Local governments of Gombe State which are: Gombe, Yamaltu Deba, and Billiri were randomly selected to represent LGs in the State. 150 questionnaires were self-administered to the respondents and 123 were duly completed and used for data analyses. Data was analyzed using SPSS. The findings of the Paper show that income level and tax avoidance are positively but not significant with ineffective tax administration. However, tax fairness, tax evasion, tax knowledge and corruption, are positively significant with ineffective tax administration. This signifies thatto enhance internally generated revenues in LGs there is aneed to restructuring the LGs tax administration in an attempt to restore taxpayer’s confidence in the LGs. The Paper therefore, recommend that there is a need for establishing new strategies and incentive that will create more enlightens among taxpayers to comply with tax payment voluntarily.
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