ABSTRACT
Tax as a means of income
redistribution in Nigeria according to the universal library in volume seven
said that income redistribution is the proportion of the national income going
to w age earners it shows the individual differences in the accrued income.
Tax enables us to know the taxable income due to us this study is mainly
carried out to determine if or not we are over charged or not and to ascertain
the effect of taxation as a means of redistribution in Nigeria. It enables the
reader to know how, why an when tax came into existence an also what tax is all
about.
In chapter I is the introduction, background of the study, statement of
the problem, objective of the study, significant of the study, scope an
limitation of the study, Definition of terms and references. Chapter II shows
the overview of the types of tax, agencies responsible for taxation
&References. Chapter III is the research metrology, method of data
collection, secondary data, method of investigations, location of data an tools
of analysis.
Chapter IV is the
summary of findings, general benefit of taxation & references. Chapter V,
conclusion, recommendation & bibliography.
TABLE OF CONTENT
CHAPTER ONE
1.0
INTRODUCTION
1.1
BACKGROUND OF THE STUDY
1.2
STATEMENT OF THE PROBLEM
1.3
OBJECTIVES OF THE STUDY
1.4
RESEARCH QUESTION
1.5
SIGNIFICANCE OF THE STUDY
1.6
SCOPE AN LIMITATION OF THE STUDY
1.7
DEFINITION OF TERMS
REFERENCE
CHAPTER TWO
2.1
AN OVERVIEW OF THE TYPES OF TAX
2.2
AGENCIES RESPONSIBLE FOR TAXATION
REFERENCE
CHAPTER THREE
3.1
RESEARCH MYTHOLOGY
3.2
METHODS OF DATA COLLECTION
3.3
SECONDARY DATA
3.4
METHOD OF INVESTIGATION
3.5
LOCATION OF DATA
3.6
TOOLS OF ANALYSIS
CHAPTER FOUR
4.1
SUMMARY OF FINDINGS
4.2
GENERAL BENEFITS OF TAXATION
CHAPTER FIVE
5.1
CONCLUSION
5.2
RECOMMENDATION
BIBLIOGRAPHY
CHAPTER ONE
1.1 INTRODUCTIONS
As everybody has own aim
to acquire income and show how he or she has income over the other, the
emergency of tax began to arose as a way whereby some part of the individual,
companies and co-operate organization an taxed an little portion refrained to
the cost of the stages.
Thus by the process of
taxing or cutting some be of income form an individual, companies or co-operate
organization, the remaining are t he accused to know how individual is
Although in Nigeria, the
origin of tax can be dated back to pre-colonial era. Meanwhile in the period of
time tax collection and administration, which usually carried out, by the Emir,
chief and their appointed agents. The system at that time was highly functional
for that time, it was extremely arbitrary.
By that time, tax collection developed from the northern state of the country
and finally proceed to the southern state.
On advert of the British
about 1900, the administration of tax was affected through several amending
ordinances (non Acts and Decrees), which principally entrusted the
responsibility of collection of taxes on local authorities.
Income tax was introduced for the first time in the northern part of Nigeria in
1904 by law Lugard By virtue of an amended ordinance passed in 1918, Income t
ax also introduced in some part of western Nigeria. Income tax was not
introduced in the Eastern part of the Nigeria until late 1920’s one to the
strong resentment to the composition that part of the country.
However what can be
regarded as the modern form of income taxation in our country came into
existence in 1940 under the direct taxation ordnance No 29 of 1943.
In 1943, by ordinance
personal income tax the modern an progressive form and could be saw to have
been introduced in Nigeria, ever through the administration and collection of
tax was still share between the British and the local authorities.
1.2
STATEMENT OF PROBLEM
Some arrears where tax
study may not help to show any changes or where it might be disrupted that is
the practice includes areas where there are non-comphance and they include.
(a) Falsification
of finical records
(b) Failure
to file income tax returns
(c) On
reported Income
(d) Failure
to state all benefits in kinds
(e) Failure
to emt sources decisions.
(f) Claiming
improper dedication, tax credit or expenses.
1.3
OBJECTIVE OF THE STUDY
Since tax was all bout income or revenue greater for the government it becomes
obvious and very necessary that tax should be studies for many benefited
reasons, which include
(1) To
find out how tax can reduce inequality of income
(2) To
know if consumption of commodities regards as harmful in tax
(3) To
know how tax serves as sources of revenue for government
(4) To
show how tax export promotion strategies
(5) To
find out how tax is used to control inflation
(6) To
find out how tax is used to protect the infant industries
1.4
RESEARCH QUESTION
(1)
How can tax reduce Inequality of Income
(2)
How would consumption of commodity be regarded as harmful in tax
(3)
How can tax serves as sources of revenue for government
(4)
How would tax export promotion strategies
(5)
How can tax be used to control inflation
(6)
How can tax be used to protect the infant industries.
1.4 SIGNIFICANCE
OF THE STUDY
This research project
will be of immense benefits to the academic world in the sense that it will
stimulate future research.
It will equally be of
immense benefit to the federal government of Nigeria on the scene that the
activities of taxation in Nigeria
The federal government
appreciates it also because they use it to control inflection in an economy.
When there is inflation
in the economy government can tax away the excess income in the lands of the society
and thereby reduce the aggregate demand which eventually losing the price
spiral down in the economy.
They also uses tax in
order to stimulate the economy towards growth and development. This could be
achieved through tax incentives to investors, tax concessions tax holidays to
new firms or investors that could lend to industrialization and development of
the economy. This issues of tax helps the federal government to meet up with
its social, economic and political obligations eg building schools, hospitals,
good roads, protect the populace from internal and external aggression etc.
from internal an external aggression etc. Government uses tax instrument to
raise revenue.
However, this study
would be extended to powers of local government and the federal government on
the ways by which they use tax to carry out their job on the distribution in
Nigeria.
1.6
DEFINITION OF TERMS
Tax being income or
revenue collection generates for government, this will be necessary and obvious
that t ax should be studied for some reasons like.
1.
PROGRESSIVE TAX
A tax is said to be
progressive, if its rate increase as the size of income or stock of wealth
which is being taxed the burden of a progressive income tax falls on those with
higher incomes. E.G Mr. X earns N20, 000 and pays N2, 000 as tax per anum 10%
& Mr. Y earns N80, 000 and pays N16, 00 as tax a year. His rate of tax is
20%. In though is situation, income axis progressive, it increases with the
rate of income.
11
DIRECT TAX
It means a tax borne to
paid by a person or whom it is legally imposed. The burden is expected to fall
upon the person who actually pays it. That the impact and the incidence of
taxation fall on one and the same person e.g. personal income tax, capital gain
tax, petroleum profit tax. Etc.
111
REGRESSIVE TAX
Tax is said to be
regressive it takes a smaller part of income as income increase. That is as
income increases the rate of tale decreases. For example. Mr. A earns N10, 000
and Mr. B earns N40, 000 per annum. In a year. Mr. A pays N1, 00 as tax at a
rate 10% while Mr. B pays N20 at a rate of 5%. This is a regressive situation.
IV
INCOME TAX
This means a tax on
income of a person or company or any organization income.
Department | Banking and Finance |
Project ID Code | BFN0117 |
Chapters | 5 Chapters |
No of Pages | 35 pages |
Reference | YES |
Format | Microsoft Word |
Price | ₦4000, $15 |
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Contact Us On | +2347043069458 |