EFFECT OF INFORMATION TECHNOLOGY ON THE EFFICIENCY OF TAX ADMINISTRATION IN NIGERIA (A STUDY OF KWARA STATE BOARD OF INTERNAL REVENUE SERVICES)

ABSTRACT This paper focused on the impact of information technology on tax administration in Kwara State Board of Internal Revenue Ilorin, Nigeria. Almost all state of the nation has been affected by the ICT, which Kwara State is not an exception; the effective application of these will facilitate accurate, reliable, speedy processing of information for a desirable administration. But over the years in the Board of Internal Revenue in Kwara State, there are several reported cases of ugly practices leading to cybercrimes and manipulations of board accounts /allocations which have resulted to improper financial record keeping and irregularities against the norms of optimal functioning. The main objective of this study is to examine the impact of information technology on tax administration in Kwara State Board of Internal Revenue Ilorin, Nigeria. This study adopts a survey research method in which information is obtained from a sample of respondents. The population of the study comprises both senior and junior staff of Kwara State Board of Internal Revenue, Ilorin, totally 75 staff, in determination of the sample size, the study adopted the use of Yemani (2014) and arrived 70. For the purpose of this paper, both primary and secondary data were used. Questionnaires and Relevant materials such as textbooks, Journals, Newspaper and other official documents of Federal Inland Revenue Service (FIRS) both in prints and electronics were widely consulted available literature on information technology and its effects on tax administration were incorporated into this study. Hypothesis was tested using regression analysis at 0.05(5%). The contributions of individual variables in the model shows that the t – statistics is positively signed (1.770, 0.844, 7.445) and it is statistically significant at 5%. The F - statistics 264.448 also revealed that the variables of the model jointly explained the dependent variables. The significant value of (P < 0.05) indicates that information technology has significant effect on tax administration in Kwara State Board of Internal Revenue, Ilorin. It was found out that IT infrastructures (digital devices, internet facility) were not regularly maintained; web portal network for e-filling of tax is not available for corporate taxpayers to conveniently remit their taxes, no adequate online facility on desk to help aid tax collection. The paper recommends that IT infrastructures like (digital devices, internet facility) should be regularly maintained, there is need also for web portal network for e-filling of tax to be made available for corporate taxpayers to conveniently remit their taxes, adequate online facility on desk to help aid tax collection should be provided.