INSTITUTIONAL OWNERSHIP AND CORPORATE TAX OBLIGATIONS OF NIGERIA LISTED FIRMS

Abstract This study investigated the relationship between institutional ownership and corporate tax obligations of listed industrial goods companies in Nigeria. Using an ex post facto research design, data were collected from nine companies selected through purposive sampling, ensuring they met compliance standards within the 2020–2023 period. The analysis employed descriptive and inferential statistics, including correlation and panel least squares regression. The findings reveal a positive and significant relationship between institutional ownership and corporate tax obligations, indicating that higher levels of institutional ownership are associated with increased tax compliance. Additionally, firm size emerged as a significant predictor of corporate tax obligations, with larger firms demonstrating a higher tax burden, likely due to their substantial taxable income. The study provides practical and policy implications by highlighting the role of institutional ownership in promoting transparency and governance, thereby enhancing tax compliance. It recommends fostering institutional investment through supportive policies and implementing tailored tax compliance frameworks to address the complexities of larger firms. By aligning tax strategies with institutional oversight, regulators can improve tax revenue collection while ensuring equitable corporate contributions. The findings contribute to the literature on corporate tax compliance and ownership structure, offering valuable insights for corporate managers, institutional investors, and policymakers. Key Words: Institutional Ownership, Corporate Tax Obligations, Firm Size