TAXING POWERS OF THE THREE TIERS OF GOVERNMENT IN NIGERIA: AN EXTRAPOLATIVE APPRAISAL

Abstract

The Chief duty of any responsive and responsible government world over is the protection of lives and properties, as well as provision of basic and socio-economic amenities for the well-being of the citizenry. For government to effectively discharge this duty, it must collect taxes from the citizens. Tax, itself, is a levy compulsorily imposed on a subject or upon his property by the government. In Nigeria, there are three tiers of government viz-a-viz the Federal, the State and the Local Government Councils. These tiers of government impose and collect one form of tax or another in order to raise revenues to discharge their functions and/or responsibilities. Often times, these tiers of government fall into serious conflict with one another in effort to impose and collect taxes from the citizens. At other times, the citizens are basically left with the option of paying multiple taxes, which leave their businesses crumbling and in disarray, thereby causing a lot to fall into unmitigated hardship. This paper appraised the taxing powers of the three tiers of government in Nigeria. Aside bringing out the laws that authorized each tiers of government to impose and collect taxes in Nigeria, the paper also showcased the categories of taxes that are collectable and the legal limits of each of the three tiers of government. The paper, more so, identified some of the challenges associated with the taxing powers of the three tiers of government in Nigeria and concluded with some recommendations.