International Journal of Social Science & Economic Research
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Professor Ocheni S.I

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Professor Ocheni S.I
Faculty of Management Science Kogi State University, Anyigba, Nigeria

S.I, Professor Ocheni. "THE IMPACT OF VALUE ADDED TAX ON THE ECONOMIC GROWTH OF NIGERIA: AN EMPIRICAL ANALYSIS." Int. j. of Social Science and Economic Research, vol. 3, no. 8, Aug. 2018, pp. 3896-3909, Accessed Aug. 2018.
S.I, P. (2018, August). THE IMPACT OF VALUE ADDED TAX ON THE ECONOMIC GROWTH OF NIGERIA: AN EMPIRICAL ANALYSIS. Int. j. of Social Science and Economic Research, 3(8), 3896-3909. Retrieved from
S.I, Professor Ocheni. "THE IMPACT OF VALUE ADDED TAX ON THE ECONOMIC GROWTH OF NIGERIA: AN EMPIRICAL ANALYSIS." Int. j. of Social Science and Economic Research 3, no. 8 (August 2018), 3896-3909. Accessed August, 2018.

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The significant impact of Value added Tax (VAT) on the development of nations cannot be overemphasized yet; most prominent Nigerians and interest groups had spoken against its introduction. Hence, the objective of this study is to empirically analyze the impact of value added tax on the economic growth of Nigeria. To investigate the relationship, it employed the least square method of estimation and found that value added tax has a positive and significant effect on economic growth. It also found a long run relationship between total revenue collections on economic growth. Granger causality test revealed the existence of a unidirectional and bi-directional causation effects between VAT and GDPR and between TRC and GDPR respectively. This study concluded by recommending that government should create enabling environment to ensure that the cooperation of revenue collection especially Value Added Tax has a good chance of working environment. Government should systematically fight corruption within the tax collectors by ensuring that functional tax offices in every council area coordinate a vigorous campaign to educate people and seek their cooperation. This will no doubt erode the negative attitude that some tax payers have developed towards revenue collection.