Pdf nigeria is governed by a federal system, hence its fiscal operations also. In the year 1787, 400 people went to the sierra leone province. Citn was formed by the government for the purpose of training and educated professionals. I hope the readership have been properly educated on the role of taxation in the nigerian economy. Most citizens were subject to a poll tax, which was a flat tax on every adult in a jurisdiction, as well as property and church taxes.
Browse area and ethnic studies african studies view htmldownload pdf the african aids epidemic. Accounting education and training sharpens the skill of a person, be it a professional skill or otherwise. To gain weight and conform with african standards of beauty, nigerian girls can consume food all day in fattening rooms. The rulers in the northern nigeria were known as safawa, kings, who grew rich due to gifts and levies paid to. Kingdom, evidence has shown that they have richer historical sources of taxation. A comprehensive tax history of nigeria researchgate. Unfortunately, we are far behind on tax law reform in nigeria as the last time any business tax legislation was enacted or. Looking at the history of taxation in nigeria, the beginning of the colonization period was connected with various trading posts and companies in the west africa. This book discusses the evolution of taxation in nigeria within the framework of eight broad themes i. The history of taxation in nigeria started with personal income tax in 1904, when lord lugard introduced income tax to northern nigeria.
Project muse a comprehensive tax history of nigeria. Ancient civilizations including greeks, romans and egyptians levied different taxes on their people to finance military operations, public services and maintain key strategic reserves of food stocks, gold to mention but a few. A comprehensive tax history of nigeria african books collective. Aug 09, 2016 taxation in nigeria and history of taxation in nigeria a tax in nigeria is a compulsory levy imposed by the federal government of nigeria on individuals and corporate entities in respective of return of service expected from the government. This means you are legally required to collect, file and remit sales and use tax.
Taxation in nigeria understanding nigerian tax system. The chinese instituted a form of property tax around 600 b. Taxation and fiscal regulations in nigeria introduction the nigerian tax system has undergone significant changes in recent times. It was, after all, taxes that led americans to revolt against the british in 1773. But he is still styled the great in modern histories of russia, perhaps because of the mighty works his taxes produced. The three eras of taxation in nigeria, the structure and jurisdiction of nigerian tax authorities, instruments of tax policy, statutory developments. Many of them have covered all its ramifications while some have effectively appraised the problem of tax administration in. Taxation, imposition of compulsory levies on individuals or entities by governments. To start, here are two basic facts about taxation in nigeria. Taxation in nigeria plus history of taxation in nigeria. Modern taxation in nigeria has a chequered history and dates. The history of nigeria can be traced to prehistoric settlers nigerians living in the area as early as 1100 bc. History of taxation in nigeria dates back to even when the name nigeria wasnt coined.
A radical shift to indirect taxation, given the low cost of. Taxation started in the precolonial era and has been improved over the years. For a historian primarily concerned with understanding processes. Numerous ancient african civilizations settled in the region that is today nigeria, such as the kingdom of nri, the benin empire, and the oyo empire. Given that the purpose of introducing electronic tax system is to improve revenue collection which will in turn improve the countrys economic growth, the study empirically examined how the implementation of etaxation in 2015 has affected tax revenue, federally collected revenue and taxtogdp ratio. Under current nigerian law, taxation is enforced by the. Even peasants that did not own land had to pay property taxes on land that they rented. Taxation and economic growth in nigeria onakoya, adegbemi babatunde1 afintinni, oluwatobi ibukun2 1,2department of economics, banking and finance, babcock university, ilishan remo, nigeria abstract over several decades, taxation has been taken as a veritable medium of engineering the growth or performance of an economy. The historical background of taxation in nigeria indicates that the first form of taxation occurred in northern nigeria. Impact of etaxation on nigerias revenue and economic growth. Community tax became operative through the revenue ordinance of 1904. The choice of the study period provides an opportunity for. The federal inland revenue service firs is the federal government agency in nigeria responsible for the administration and collection of taxes. This study examined the impact of etaxation on nigerias revenue and economic growth.
Mar 21, 2018 these will help you run your business legally in accordance with the tax laws and regulations in nigeria. At this time, it most farm produce and other primary goods. However, formatting rules can vary widely between applications and fields of interest or study. History of taxation in sierra leone after the american revolutionary war, the americans tried to settle the freed slaves who were with the great britain. In monetary economies prior to fiat banking, a critical form of taxation was seigniorage, the tax on the creation of money. All taxes in nigeria are collected by nigeria s federal inland revenue service firs.
Scholars and students from many lands will therefore give it a v. The history of taxation stretches thousands of years in the past. Value added tax vat in nigeria is levied on all products and services traded within the country and payable to government at a 5% rate, one of the lowest in the world. The institute of chartered accountants of nigeria ican was established by act of parliament no. The sale of real estate properties is subject to a 10% tax on the gains. Before the colonization period in nigeria, the tax system was traced to the northern parts of the country. America was tax free for much of its early history. All produce generated from the dedicated portion of land was taken as a tax. Fair taxation was a key issue for many english citizens during the medieval period. A comprehensive tax history of nigeria book, 2012 worldcat.
In conclusion,after a proper explanation of the various taxes paid in nigeria,what the levels of government can ask for,what the taxes collected by government is used for. The study period spans economic cycles for about 66 percent of the life of the country, since attaining political independence in 1960. As a result, the gb exploited the resources and people of africa. Jun 14, 2017 value added tax vat was introduced by the federal government of nigeria and is provided for by the value added tax decree 102 of 1993 which became effective in 1994 which requires manufacturers, wholesalers, importers and suppliers of vatable goods and services to be registered within six months of commencement of business. Historical background of taxation in nigeria answers. During this time, the tax administrators then were the traditional chiefs tax agents. Tax and taxation in nigeria europeanamerican journals. Government, tax administrators, practitioners and academics alike. Obviously, everything about the nigerian taxation cannot be covered in this article, so try to click the links provided on certain text to get a wider scope and explanation. Feb 09, 2017 a tax in nigeria is a compulsory levy imposed by the federal government of nigeria on individuals and corporate entities in respective of return of service expected from the government. In countries like ghana, nigeria, kenya, south africa, zambia, india and united. Nigeria has the highest rate of twin births per year globally. The concepts that evolved were transported to other empires and cultures where tax ideas took. This is understandable tax as we know is imposed by status and this constitutes the most important source of tax laws.
Islam reached nigeria through the borno empire between 1068 ad and hausa states. The nigerian tax system is lopsided, and dominated by oil revenue. Mar 21, 2020 nigeria s movie production industry, nicknamed nollywood, is the secondlargest in the world by volume. The objective of this study is to investigate the impact of taxation on economic development of nigeria proxy by the gross domestic product gdp.
Taxes are levied in almost every country of the world, primarily to raise revenue for government expenditures, although they serve other purposes as well. The british empire tried to fight for economic dominance in the region. According to firs there are nine9 types of taxes in nigeria. According to azubike 2007 and samuel and inyada 2010, the history of taxation in nigeria can be dated back to the era of sahara trade and the introduction of islamic religion in nigeria between 800ad and 1400ad. The chartered institute of taxation of nigeria is the professional certified tax administrators in nigeria. Taxation in nigeria understanding nigerian tax system oasdom. Apr 14, 2010 america was taxfree for much of its early history. Taxation in nigeria and history of taxation in nigeria a tax in nigeria is a compulsory levy imposed by the federal government of nigeria on individuals and corporate entities in respective of return of service expected from the government. During this time, the tax administrators then were the traditional chiefs tax. Federal inland revenue service firs we do our best to provide accurate and up to date information. Nigeria tax system is historical odusola, 2006 dates back to 1904 when the personal income tax was introduced in northern nigeria before the amalgamation. In nigeria, nobody can dispute the fact that though this taxes are been collected, they are. A tax in nigeria is a compulsory levy imposed by the federal government of nigeria on individuals and corporate entities in respective of return of service.
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