Author(s): Dauda A Ariyoosu and Tinuola O Ajayi

Abstract: Personal income tax is a reliable source of revenue for the State governments. To maximally achieve the objective of financing government expenditure, effective administration of personal income tax is necessary. This is because tax crime is a phenomenon relative in every tax system, which is capable of weakening the aggregate tax revenue mobilization. The aim of this paper is to examine the legal measures against tax offences under the Nigerian Personal Income Tax Act, Cap P8 Laws of the Federation of Nigeria, 2004. The specific objectives are to: examine the method of assessment and collection of personal income tax; examine the various tax offences under the Personal Income Tax Act; and assess the sanctions provided to prevent tax offences. The paper adopted a doctrinal research method to achieve the objectives. It was found that the Nigerian Personal Income Tax Act contains well-established statutory provisions to regulate the administration of personal income tax and the commission of tax offences. However, there are doubts whether these provisions are sufficient to curb or punish the commission of tax offences. The paper concluded that the implementation of the legal measures provided to curtail tax offences under the Personal Income Tax Act are not adequate to prevent the incidence and commission of tax offences. The paper recommended that the government and tax authorities should strengthen the system of personal income tax administration so as to reduce the incidence and commission of tax crimes among taxpayers in Nigeria.

Pages: 12-19 | Views: 913 | Downloads: 515

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