Title: Effect Of Tax Administration On Revenue Generation In Adamawa State.
Authors: Oyidi, Monday Cletus, Ph.D., Yahaya Garba Saleh, Ph.D. and Enock Innocent Nelson
Volume: 9
Issue: 4
Pages: 124-129
Publication Date: 2025/04/28
Abstract:
This study examines the effect of tax administration on revenue generation in Adamawa State, focusing on the performance of the Adamawa State Board of Internal Revenue Service (ASBIRS) from 2019 to 2023. The study adopts a survey research design, collecting primary data from tax officials and taxpayers through structured questionnaires, while secondary data was sourced from government reports and financial records. Findings reveal that tax administration reforms, such as digital tax payment systems, compliance enforcement, and taxpayer education, have had a moderate impact on revenue generation, with a grand mean score of 2.53 and a standard deviation of 0.98. While voluntary tax compliance has improved due to streamlined registration and payment processes (Mean = 2.89, SD = 0.97), enforcement mechanisms remain weak, leading to continued tax evasion and revenue leakages. Digital tax administration has enhanced transparency (Mean = 2.57, SD = 0.95), but slow adoption, especially in rural areas, has limited its full impact. Additionally, taxpayer education campaigns had a low effect on compliance (Mean = 2.38, SD = 1.00), indicating that awareness programs need to be strengthened. The study concludes that while reforms have contributed to some improvements, challenges such as corruption, weak enforcement, and a large informal sector hinder optimal revenue generation. It recommends stronger tax enforcement, expanded digitalization, and increased taxpayer education to enhance compliance and boost internally generated revenue (IGR). By addressing these issues, Adamawa State can achieve greater financial sustainability and reduce reliance on federal allocations, enabling more effective funding of public services and infrastructure development.