EMPIRICAL ASSESSMENT OF THE DETERMINANTS OF TAX AGGRESSIVENESS IN LISTED FIRMS IN NIGERIA

Abstract The study examined the determinants of tax aggressiveness in firms that are listed in the Nigerian Stock Exchange Group. The objective of this investigation was to examine various corporate factors or variables that influence tax aggressiveness in Nigerian firms. The theoretical anchorage of the study was on the agency, resource dependence and behavioral decisions theories. The study employed firm size, board gender diversity, profitability and leverage as the independent variables, while tax aggressiveness was measured using effective tax rate. The study employed the use of secondary data obtained from the 39 listed non financial firms on the Nigerian Exchange Group (NXG) from 2013 – 2022, spanning through 10 years period. The data were analyzed using the descriptive statistics, inferential statistical tools and ordinary least square (OLS) regression was used in testing the study hypotheses. The research investigation revealed that firm size, board gender diversity, profitability and leverage have insignificant effect on tax aggressiveness of listed firms in Nigeria. The study concluded that these variables are collectively or individually cannot influence tax aggressiveness in Nigeria. The study recommended that firms seeking responsible tax strategies should concentrate on long-term sustainability, ethical practices, and prudent leverage management, while considering the potential benefits of diverse board composition and professional tax advice. Keywords: Firm size, Board gender diversity, Profitability, Leverage.