Benue State University, Makurdi

Usage of Tax as a Regulatory Measure for the Regulation of Negative Goods' Consumption in Nigeria: Emphasis on Excise Duties

Omozue Moses Ogorugba*

Abstract

Government is facing the challenge of raising adequate income internally through taxation to reach myriads and complete ends in an increasing number of developing countries. The aim of these articles is to discuss the use of tax in Nigeria as a regulatory measure to regulate the consumption of negative products. It addresses the requirements of a liberal state's political economy; the problems of decreasing public revenue through taxation; goods subject to excise duties in Nigeria; individuals responsible for paying excise duties; and the imposition and payment of excise duties in Nigeria. The article shows that the most obvious deficiency of the excise duty system in Nigeria in controlling the consumption of negative products is very archaic, outdated and in desperate need of change, and that since its implementation in 1959, the basic law (excise duty) governing the regulation of the consumption of negative products has not undergone any penetrating or substantive review. Therefore, the article concludes that excise duties are still used to deter consumption of negative and hazardous goods while loosening their fiscal and revenue significance.