Value Added Tax (VAT) and Price Stability in Nigeria

 ABSTRACT 

Value Added Tax (VAT) is a consumption tax on the value added to a product in the process of 

production. Like all other indirect taxes, it is a tax that targets the final consumer of goods and services.  

The main purpose of VAT in Nigeria is to increase government (state and Local) revenue from the non-oil 

sector thereby reducing the government’s dependence on oil sales and the budget deficits. In this 

research work my aim is to determine the stabilizing roles of VAT in the Nigerian economy. The study 

employed multiple regression analysis as a method of study using the ordinary least square (OLS) 

regression technique in estimation. Result of the analysis revealed that price level is not stimulated by 

VAT in Nigeria.  

TABLE OF CONTENT 

Title Page  - - - - - - - - - - i 

Approval Page  - - - - - - - - - ii 

Dedication  - - - - - - - - - - iii 

Acknowledgement  - - - - - - - - iv 

Abstract - - - - - - - - - - vi 

Table of Content  - - - - - - - - - vii 

CHAPTER ONE:  INTRODUCTION 

1.1 Background of the Study  - - - - - - - 1 

1.2 Statement of Problem  - - - - - - - 3 

1.3 Objective of the Study  - - - - - - - 4 

1.4 Statement of Hypothesis  - - - - - - - 4 

1.5 Scope of the Study - - - - - - - - 4 

1.6 Significance of the Study - - - - - - - 5 

CHAPTER TWO:  

2.0 Literature Review 

2.1 Conceptual Framework - - - - - - - 6  

2.2 Inflation Rate   - - - - - - - - - 6 

2.3 A Review of the Taxation System in Nigeria Historical Review - 8 

2.4 Economic Stability in Nigeria   - - - - - - - 19  

2.5 Theoretical literature -- - - - - - - - 21 

2.6 Summary of Literature and Justification of the Study  - -  - 30 

CHAPTER THREE:     RESEARCH METHODOLOGY 

3.0 Methodology and data  - - - - - - -  31  

3.1 Methodologies   - - - - - - - - 31 

CHAPTER  FOUR: PRESENTATION AND ANALYSIS OF DATA 

4.0 Presentation and Discussion of Results  -- - - -  - 35 

CHAPTER FIVE: 

5.0  CONCLUSION AND POLICY RECOMMENDATION- - - - - 38 

5.1 Conclusion  - - - - - - - - - -38 

5.2 Recommendations  - - - - - - - - -38 

Bibliography   - - - - - - - - - 40