Abstract
The study empirically ascertains the effect of companies income tax on financial performance of quoted manufacturing companies in Nigeria. To achieve this objective theoretical, conceptual and empirical literature on companies income tax and financial performance was extensively reviewed.Companies income tax was proxied by capital gains tax, tertiary education tax and company income tax. The population of the study consists of sixty quoted manufacturing companies in Nigeria. The study adopts purposive sampling techniques to select thirty quoted manufacturing companies as a sample size. Secondary data was obtained from audited annual financial reports of quoted manufacturing companies in Nigeria from 2006-2020. Hypotheses formulated were tested using panel least squares regression through pooled effect, fixed effect, and random effect, determined by the Hausman test, fixed effect regression was preferred for results interpretation with the aid of EViews 10 econometric statistical software. Findings show that company income tax had a negative and insignificant effect on net profit margin of quoted manufacturing companies in Nigeria. Capital gains tax had positive and significant effect on net profit margin of quoted manufacturing companies in Nigeria. Tertiary education taxes had negative and insignificant effect on net profit margin of quoted manufacturing companies in Nigeria. The study concludes thatcompanies income tax reduced financial performance of listed manufacturing companies in Nigeria. The study recommends among others that government must ensure the eradication of multiple taxations and ensure transparency in corporate tax administration in order to attract investors and ensure tax compliance. The government should implement tax harmonization policy to reduce multiple taxations. The government should adopt a single uniform company income tax rate for all types of companies in Nigeria to avoid multiple taxations. The government should
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