Achieving Sustainable Development Through Tax Harmonization: Potentials, Paradoxes And Policy Imperatives

Abstract

Using Nigeria as a case study, this article examines the efficacy of tax
harmonization as an option for the achievement of two objectives:
the integration of a developing country with other economies, and its
sustainable development. It highlights the nexus between tax
harmonization – a tax policy option – and sustainable development, as
well as the potentials and paradoxes of tax harmonization. The article
proceeds on the premise that striking the right balance between the
multiplicity of policy options when designing and implementing tax
policies is a great challenge for governments; tax harmonization can be
adopted for diverse reasons; and the policy of harmonization within the
tax sphere impacts on development of the state. The article discusses how
practical barriers and challenges associated with implementing tax
harmonization may be navigated through empirical information and/or
research.