Theoretical Review of Taxation Issues: Impact on Companies’ Performance

Taxation is an instrument employed by the government for generating public funds. It is a required payment imposed by the government on the income, profit or wealth of individuals, “group of persons, and corporate organizations. This paper offers a review on taxation, with reference on theoretical prepositions. In Nigeria today, certainty characteristic implies that collection of taxes from taxpayers is assured. Tax collection is not affected by the state of the economy, whether the economy is declining, stagnant or growing. Its flexibility makes it possible for the government to adjust the tax system to suit her desired purpose. In Nigeria, corporate taxes levied include company income tax, tertiary education tax, information technology levy, Nigerian police trust fund levy among others. The paper offers brief literature, presents the theoretical postulations on taxation, as well as issues on taxation in Nigeria.