The Impact of E-Taxation on Revenue Mobilization in Cross River State

This study assesses the impact of electronic taxation systems on revenue mobilization in Cross River State, South South Nigeria. As Nigerian states seek alternative revenue sources in the face of declining oil allocations, modernizing tax administration through digital platforms has become a priority. Cross River State has made progressive steps in implementing e-tax systems, but the revenue outcomes of these efforts have not been rigorously evaluated at the academic level. This study employs a mixed-method approach, combining secondary revenue data from the Cross River State Internal Revenue Service for the period 2019 to 2023 with primary data from 75 tax officers and 60 business taxpayers. The study evaluates system effectiveness across dimensions of filing convenience, processing speed, payment security, and compliance rate. Regression analysis and descriptive statistics are used to analyze findings. Results indicate that the introduction of the e-tax platform is associated with a 31 percent increase in personal income tax collections and a notable reduction in filing backlogs. Taxpayers reported higher satisfaction levels with the online filing experience compared to manual processes. However, network infrastructure gaps and limited digital literacy among older taxpayers constrained full adoption. The study concludes that e-taxation is an effective revenue mobilization strategy for Cross River State. It recommends that the state revenue service invest in digital literacy campaigns and expand broadband connectivity to rural taxpayer communities.

Keywords: e-taxation, revenue mobilization, Cross River State, digital tax, compliance.