ABSTRACT

Past documentations have revealed that revenue from taxes in developed nations have high impact on its economic growth which clearly is seen by the amenities provided by such nations. Thus the main objective of this study is to explore the relationship between taxation in Nigeria and its infrastructural development. Selected proxies of infrastructure and time series of tax collection were analyzed using simple Regression analysis Model. The findings reveal that taxes have a positive impact on Nigeria 's infrastructural development, showing significant relationship. The utilization of the generated revenue from taxes calls for serious concern, and requires a special attention from policy makers, non-compliance with tax laws on the part of the tax payers is a hindrance and ineffective administration of tax has given enough loop holes for tax evasion, the consequence of which is poor revenue. The researcher furthermore recommends among others that only skilled, professionals and trust worthy hands be responsible for tax administration and the general public should be educated right from the grass root on the importance of taxes to the entire nation.