Tax Shifting a New Approach to Environmental Tax Reform


  • Iliya Garba Department of Accounting, Gombe State University, PMB 127, Gombe, Nigeria
  • Adamu Jibir Department of Economics, Gombe State University, PMB 127, Gombe, Nigeria



Environment, Pollution, shifting, Tax, Nigeria


It is of great importance for the policymakers to make useful reforms on environmental policies in such a way that it will discourage environmental degradation, and solid waste disposal. This is because tax generally decreases consumption of the items that are taxed heavily. A commonsensible strategy, and it is welfare improving to tax undesirable activities like pollution more and desirable activities less in more efficiently and convenience way. Musgrave’s theory of fiscal incidence and its measurement has been adopted. The study applies a quantitative method approach where quantitative data was collected from individual’s tax workers by means of questionnaire distribution and the data was analyzed using Structural Equation Model (SEM). It has been found that tax shifting can produce a noticeable change in the level of pollutant with minimum cost. This is because taxing of pollution by putting a price on what was formally free will discourages or minimizes the level pollution. The study recommends that developing country like Nigeria should be encouraged to implement tax shifting in their policy on industries that their activities are not environmentally friendly as it is an effective mechanism to reduce environmental pollution.


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How to Cite

Iliya Garba, & Adamu Jibir. (2021). Tax Shifting a New Approach to Environmental Tax Reform. UMYU Journal of Accounting and Finance Research, 1(1), 131–147.