Abstract
This study examined the Effect of the Finance Act on Nigeria's Tax Revenue: Enhancing
Revenue Accountability with emphasis on Company Income Tax and Capital Gains Tax
reforms, Value Added Tax reforms, development levies and education tax reforms, and tax
administration reforms. The study was motivated by the need to evaluate the effectiveness
of recent fiscal reforms aimed at enhancing non-oil revenue and reducing dependence on
oil income in Nigeria. A descriptive survey research design was adopted, and data were
collected using a structured questionnaire administered to 384 respondents in Ikeja, Lagos
State, out of which 364 valid responses were retrieved and used for analysis. Data were
analyzed using mean, standard deviation, and regression analysis. The findings revealed
that Value Added Tax reforms have a statistically significant effect on tax revenue
generation, while Company Income Tax and Capital Gains Tax reforms, development levies,
and tax administration reforms do not have significant effects. The study concluded that
the Finance Act has improved Nigeria's tax revenue, particularly through VAT reforms, but its effectiveness is constrained by structural and administrative challenges. It
recommended strengthening enforcement mechanisms, improving digital tax systems,
expanding the tax base, and enhancing transparency to ensure sustainable revenue growth.
Keywords: Finance Act, tax revenue, Value Added Tax, Company Income Tax, tax
administration, non-oil revenue, Nigeria
Publication Date: 2026-07-31