Infrastructures, Taxation and Performance of Small and Medium Scale Enterprises in Nigeria

Abstract

This study looked at how taxes and infrastructure development affected small and medium-sized firms' performance in the Jalingo Metropolis. The specific goals were to find out whether road infrastructure has a significant impact on small and medium-sized businesses' ability to deliver goods and services, whether taxes have a significant impact on the performance of small and medium-sized businesses in Jalingo Metropolis, and whether the availability of electricity has a significant impact on the profitability of small and medium-sized businesses in Jalingo Metropolis. The survey design was employed in the investigation. 370 small and medium-sized companies in the Jalingo Metropolis were the study's population. A questionnaire was utilized to collect data, which was then analyzed using the chi-square technique. The chi-square analysis revealed that the availability of electricity has a major impact on the profitability of small and medium-sized businesses in the Jalingo Metropolis; road infrastructure has a significant impact on the delivery of goods and services by small and medium-sized businesses in the Jalingo Metropolis; and taxes have no significant impact on the performance of small and medium-sized businesses in the Jalingo Metropolis. Based on the study's findings, the government should adopt consistent tax policies that will assist the expansion of small enterprises in Jalingo- Metropolis. For the objective of creating a flourishing and dynamic small company sector, the tax rules should be adequate enough to neither burden small enterprises nor discourage voluntary compliance. Additionally, the government should adopt a tax policy that would stimulate investments in small firms. Lastly, the government should make sure that dishonest tax officials who oversee tax assessment and collection are replaced in order to prevent numerous taxes from being imposed on small enterprises.