TAX POLICY AND SUSTAINABLE DEVELOPMENT IN NIGERIA

Sustainable development ensures the stability of the present economy and projects the growth of the future for the good welfare of the citizens. The poor economic situation of Nigeria has undermined the growth of the major sectors of the economy which resulting into low industrial output. The government's over-reliance on oil and not paying significant attention to income from taxation contributed to the downturn in the economy of Nigeria. The study evaluated the effect of tax policies on the sustainable development of Nigeria. The study employed a survey research design. The population of the study was tax practitioners, public analysts, and FIRS staff involved in tax policy formulation, administration, and enforcement in Nigeria. Using a purposive sampling technique, 100 respondents were selected for the study. A validated and structured questionnaire was used to obtain data. One hundred copies of the questionnaire were administered. Data were analysed using descriptive and inferential (multiple regression) statistics were used to analyse the data at 0.05 level of significance. The result found that tax policy had significant effect of sustainable development (Human Development Index) (Adj R2=0.910,F(3,96)=324.48,p<0.05) in Nigeria. The study concluded that tax policy influenced sustainable development (Human Development Index) in Nigeria. The study recommended that the government should introduce and implement policies that will give preference to taxes for the sustainable development of Nigeria.