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PROJECT TOPIC: NIGERIA TAX SYSTEM AS A TOOL FOR PROMOTING ECONOMIC GROWTH AND DEVELOPMENT(2001¬-2010)

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CHAPTER ONE

 INTRODUCTION.

1.1 Background to the study.

Since the existence of human beings on earth after the creation phase, with the resources man found himself within which was put under his care, it is assumed that the creator put all things there so that man and his offspring might benefit from his creation. During this time in the world all human beings were equal, economically speaking and all were living an average life by exchanging goods and services for a living.

As evolution set in, man needed to be ruled by leaders of their own kind and this brought about the emergence of kings and queens. The people under each king or queen were expected to pay periodically, a kind of tax directly, either by giving the products they cultivated or by providing communal services (Ademola, 1996). The emergence of kings and queens as rulers, gave birth to social stratification in the society thereby dividing the society into two classes which are, the rich class and the poor class. These classes will share a similar lifestyle, which to some degree would distinguish them from members of other social strata (Haralambos and Holborn, 2004).

Social stratification set in gradually, civilization also paved its way into the society and soon it became clear that the human society will always be a composition of the have‟s who are the rich, and the have not‟s who are the poor. The era of kingdoms was slowly fading away, due to the advent of civilization, and governments began to be established.

When governments began to be established, the political systems was also going through rapid change at the time and so was the economic system also. The poor were dying off because of poverty and hunger and also due to their status in the society, they also had no access to social amenities such as health facilities, security, education e.t.c. These were the dark days of humanity because there was a very wide gap between the rich and the poor this gap was ever increasing because the rich were getting richer while the poor were getting poorer. Something had to be done urgently.

The emerging governments of countries in order to bridge the gap between the rich and the poor had to put in place a tax system that will enable those who have to provide for those who do not have through the contributions of those who have. The contributions collected by the government from those who have was to be used to provide for social amenities such as security, health, education, employment, e.t.c. which is to be enjoyed by all in the society whether rich or poor.


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