Institutional Quality and Tax Revenue Mobilization in Nigeria (1996 - 2021)

The current study aimed to investigate the critical nexus between institutional quality and tax revenue mobilization in Nigeria from the time period (1996-2021). The study employed preliminary tests including descriptive statistics, the unit root test, and the Autoregressive Distributed Lag Model (ARDL). Unit root test was employed to determine the dataset, and ARDL was the econometric technique employed to assess the effect of institutional quality on tax revenue mobilization while a diagnostic test was conducted to ensure that the results of the model are statistically valid, reliable, and not misleading. The results highlighted that improvements in bureaucratic efficiency positively correlate with enhanced tax collection, emphasizing the importance of streamlined administrative processes. Additionally, the study underscored the negative effect of corruption on tax revenue mobilization. Policy implications emanating from the study include strengthening institutional quality and the need to support long-term economic growth through human capital development, infrastructure, and diversification to expand the tax base.