An Evaluation Of The Effects Of Indirect Taxation On Consumption Patterns In Nigeria:- Ogbu, Chidera V.

ABSTRACT

The study focuses on the effect of indirect taxation on the consumption patterns in Nigeria. The main objective of the study is to determine the extent to which indirect taxes affect consumption of Nigerians. The researcher employed the expost facto research design, secondary data was employed and multiple regression model was adapted. The data for this study were obtained from the national bureau of statistics document and FIRS documents for a period of 10 (ten) years (2007- 2016). The study adopted the empirical methodology framework. The findings revealed that there is a significant effect ofVAT on consumption pattern in Nigeria while Custom and excise duty has no effect on consumption pattern. Therefore the researcher concludes that there is a positive relationship of VAT on the consumption pattern in Nigeria and a negative effect of Custom and Excise duty (CED) on consumption pattern in Nigeria. The researcher therefore recommends relevant tax authorities should be on a look out to stop the arbitrary increase in price by businessmen in disguise ofindirect tax as it affects the poor households.