THE IMPACT OF TAXATION LAW ON INVESTMENT ACTIVITY IN NIGERIA (A CASE STUDY OF GLOBAL SOAP AND DETERGENT INDUSTRY LTD ILORIN)

TABLE OF CONTENT

Title page                                                                                i

Certification                                                                            ii

Dedication                                                                                iii

Acknowledgement                                                                             iv

Table of content                                                                       vii

CHAPTER ONE

INTRODUCTION

1.1     Background of the study                                                          1       

1.2     Objective of the study

1.3     Significance of the study

1.4     Scope of the study

1.5     Research methodology

CHAPTER TWO LITERATURE REVIEW

2.1     Preamble

2.2     Philosophy of Nigeria taxation

2.3     Evaluation of Nigeria taxation

2.4     Effect of taxation on cash flow return on investment and research in practical

2.5     Effect of taxation on personal income

2.6     Personal income gain

CHAPTER THREE

RESEARCH METHODOLOGY

3.1     Methodology and source of data

3.2     Interview on taxes from account section of Cocoa-Cola Bottling Company, Ilorin

CHAPTER FOUR

PRESENTATION ANALYSIS AND INTERPRETATION OF DATA

4.1     Taxation of investment in securities municipal bond 

4.2     Management expenses if investment companies

4.3     Federal personal income tax

4.4     Federal Estate taxes

4.5     Federal Estate and gift taxes

4.6     Brief historical development

CHAPTER FIVE

SUMMARY CONCLUSION AND RECOMMENDATION

5.1 Summary

5.2 Conclusion

5.3 Recommendation

References

CHAPTER ONE

INTRODUCTION

1.1 BACKGROUND OF THE STUDY

Taxes are the most important source of government revenue. A tax can be defined as a compulsory levy imposed by a public authority in one’s incomes, consumption and production of goods and services. Taxes are levied on personal incomes (consisting of salaries, business profit interest income dividend royalties etc) company profits, petroleum profit capital gains and capital transfers.

For a payment or collection to be considered as a tax, it should posses the following characteristics.

1. It is a compulsory payment imposed by the government on the people residing in the country. Since it is a compulsory levy, any person who refuses to pay a tax is liable to punishment. A levy the payments of which is voluntary is not a tax buy a contribution or donation.
2. A tax must be for common use. It must be for common good, the government uses the revenues collected from taxes for providing hospitals, schools, public utility services etc. which benefits every citizen of the nation.
3. A tax is not levied in return for any specific services rendered by the government to the taxpayer. An individual cannot ask for any special benefit from the government in return for the tax paid by him or her.

1.2     OBJECTIVE OF THE STUDY

The objective of writing this project work is to view the impact of taxation law on investment activities in Nigeria.

In view of this fact, the study will take a look at whether business activities management recorded or prepared in their financial statement as stipulated by the tax law.

In the course of the study the researcher shall also take a look at the concept of tax law in Nigerian and also make suggestions and recommendation on taxation in Nigeria.

1.3     SIGNIFICANCE OF THE STUDY

This study would help in enlightening manager’s accountants, auditors, Business consultants, tax collectors financial manager, government (federal, state and local joint tax board state internal revenue board and federal board of Inland Revenue board, about the impact of taxation law on investment activities in Nigeria.

It will also give the likely suggestion solution to the problem-encountered in taxation law and also highlight the necessary improvement on taxation law on investment activities Nigeria.

1.4     SCOPE OF THE STUDY

The study of the impact of taxation laws on investment activities in Nigeria could be extensive since there are lots of different business activities.

In Nigeria such as manufacturing wholesales; retail, banking insurance, investment, financing, shipping, road and transportation of tax payment affect the firm in an industry.

The extent of this research is limited to the study of taxation and effect on a company or two company’s activities in an industry. This impact on company is typical of others and industry.

This project research work also examines the impact of pay as you earn system of tax collection of purchasing power of industry in pay employment and small trades concern.

Methods’ sending of some of the tax liabilities has also been considered in this course o for the research work.

Government efforts in providing a conductive economic environment that would inspire new in encourage existing one towards a better performance through the provision on incentive and tax benefit covered in this project.