CORPORATE TAX PLANNING AND FIRM VALUE: A STUDY OF SELECTED FIRMS IN NIGERIA

The study ascertained the effect of corporate tax planning on the firm value of selected firms in Nigeria. Effective tax rate, deferred tax expense was used to measure the independent variable, while TOBIN Q was used for dependent variable. Ex post facto research was adopted for the study. Data were extracted from audited annual reports and accounts of the ten sampled firms listed on the Nigerian Exchange Group. The study indicated that P-value of the test was 0.0083 less than 0.05 (5%), this study upholds that effective tax rate has a positive and significant effect on firm value of quoted non-financial firms in Nigeria. Also the value of the test was 0.0280 less than 0.05 (5%), this study upholds that deferred tax expense has a positive and significant effect on firm value of quoted non-financial firms in Nigeria. Based on the findings, the study recommended among others that since the influence of effective tax rate is statistically significant and so, should be used as a determinant of firm value in Nigeria. Therefore, on the basis of efficient use of tax rate to generate growth should be encouraged