Impact of information technology on the productivity of value added tax in Nigeria

In the past few years, information technology (IT) has played a crucial role on the productivity of value added tax on revenue generation in Nigeria. However, no empirical research has evaluated the impact of IT on Value added tax. This study focuses on three out of the eight zones of directorate of value added tax namely; Lagos, Ibadan and Ilorin. Both qualitative and quantitative information from the research centre were analyzed to estimate the change in productivity following the implementation of IT. The results from both regression analysis and Data Envelopment Analysis (DEA) indicate significant productivity gains after IT implementation. It is crystal clear that Information Technology has increased the productivity of Value Added Tax in Nigeria.