Multinational Research Society Publisher

MRS Journal of Accounting and Business Management

Issue-1 (January), Volume-3 2026

1. TAX POLICY REFORMS AND FINANCIAL SUSTAINABILITY OF LISTED SMALL AND ME...
9

Obiazi Tubotamuno-Ojas JACK Ph...
Department of Accounting, Faculty of Administration and Management, Rivers State University, Nkpolu-Oroworukwo, Port Harcourt
1-8
https://doi.org/10.5281/zenodo.18181664

This study examined the effect of tax policy reforms on the financial sustainability of Small and Medium Enterprises (SMEs) in Nigeria, focusing on firms listed on the Growth Board of the Nigerian Exchange Group (NGX). The study was motivated by concerns that high tax rates, inefficient tax administration, and limited access to tax incentives continue to constrain SME financial sustainability despite ongoing reforms. The main objective was to assess the effect of tax rate, tax administrative efficiency, and tax incentives on SME financial sustainability, measured by Return on Assets (ROA). A panel research design was employed, relying on primary data collected through structured questionnaires administered to the selected SMEs. Data were analyzed using E-Views software, employing descriptive statistics, correlation analysis, and panel regression techniques, specifically the fixed effects model. The findings revealed that tax rate negatively and significantly affected financial sustainability, while tax administrative efficiency and tax incentives exerted positive and significant effects on ROA. The results indicate that excessive tax burden undermines SME sustainability, whereas efficient tax administration and accessible incentives enhance financial resilience. The study concluded that tax policy reforms significantly shape the financial sustainability of SMEs in Nigeria and recommended rationalization of SME tax rates, improvement of tax administration, strengthening of tax incentives, and consistent policy implementation to support SME growth and long-term sustainability.

2. Corporate Tax Planning and Profitability of Quoted Firms on the Growth...
2

Dr. Ellah Bridget Agbonma*, Dr...
Department of Accounting, Faculty of Administration and Management, Rivers State University, Nkpolu-Oroworukwo, Port Harcourt
9-16
https://doi.org/10.5281/zenodo.18181988

This study investigates the effect of corporate tax planning on the profitability of quoted firms in the Growth Board of the Nigerian Exchange Group. The study adopts a panel data research design, covering eight (8) quoted firms over a ten-year period from 2015 to 2024. Secondary data were obtained from the annual reports and accounts of the selected firms, focusing on income effective tax planning (IET), debt tax planning (DTS), and non-debt tax planning (NDT) as measures of corporate tax planning, while return on investment (ROI) was used as the indicator of financial performance. The study employs panel regression analysis, including pooled Ordinary Least Squares (Pooled OLS), Fixed Effects (FE), and Random Effects (RE) models, with the Hausman test used to determine the most appropriate model. Results from the Fixed Effects model reveal that income tax planning (IET), debt tax planning (DTS), and non-debt tax planning (NDT) all have a positive and statistically significant effect on ROI at 5% significance level. The Hausman test confirms the Fixed Effects model as the most suitable for interpretation. The findings indicate that strategic tax planning enhances firm profitability, highlighting the importance of efficient tax management in value creation for shareholders. The study concludes that corporate managers should implement systematic tax planning strategies to maximize financial performance while ensuring compliance with regulatory frameworks.

3. An Assessment of the Political Environment of Trade Unions in Kenya: I...
1

Nyongesa, Godfrey* , Boit, Ros...
PhD, Moi University
40-46

Trade unions are independent workers organizations recognized by the Kenyan constitution to advance the interests of the workers. This recognition empowers them to work within the confines of the law to ensure workers enjoy fundamental labour rights and freedoms and accompanying employment benefits such as higher wages, job security, and likeable working environs, improvement of their lot, improved welfares and the right to partake freely into workplace matters. To achieve these goals, trade unions require a conducive political as well as socio-economic environment devoid of any hindrances. This paper therefore, examines the political environment that trade unions have operated in, and continue to operate in the country from the periods before independence, after independence and also after the proclamation of the current constitution in 2010. It assesses also the role of politics in the management of the unions in the country. Over the years, considerable developments have been made towards the progression of trade unions in Kenya. This is evident in the increased number of trade unions in the country, workers awareness to their labour rights as well as the increased democratic space. These developments notwithstanding, we recommend that government creates a favourable political environment for trade unions, desist from interference and infiltrating trade unions, adheres to the rule of law, create law enforcement mechanisms for labour laws and equally union leadership to stop any dalliance with politicians. Indeed government functionaries have interfered, infiltrated and politicised trade union activities. This has hampered what would otherwise be a cordial and well managed sector. The government has a duty to ensure that there is a good operating environment for the trade unions devoid of any political maneuvers for them to be able to execute their mandate well as expected by the workers. It must also view trade unions as key partners in labour relation matters and not adversaries. Based on this, we conclude that, the political environment under which the unions are operating is still not conducive enough as it should be for the trade unions to fully flourish.

4. Foreign Exchange Rate Translation and Corporate Performance of Multina...
4

Kalu Igwe*, Asian A Umobong, P...
Department of Accounting, Faculty of Management Sciences, University of Port Harcourt, Nigeria
47-56
https://doi.org/10.5281/zenodo.18760975

Foreign currency translation is essential for financial reporting of multinational enterprises operations, particularly those operating in different global markets as companies engage in cross border transactions; maintain subsidiaries and associates in multiple countries. These firms encounter various foreign exchange risks that can significantly affect their financial statements. The choice of foreign currency translation method by multinational enterprises has profound effect for reporting financial outcomes. This study seeks to examine the effect of foreign exchange risks that can significantly affect their financial statements. The choice of foreign currency translation method by multinational enterprises impact financial outcome. This study seeks to examine the effect of foreign exchange rate translations on corporate performance of multinational enterprises in Nigeria. The study used Augmented Dickey-fuller based on panel data framework for the period 2014 – 2023 on multinational enterprises in Nigeria. The use of ADF was to determine the stationarity or non-stationarity, while Granger causality test was conducted to show the directional causality. From Hausman test, fixed and random effects were adopted. The study shows that causality test outcome imply that the variables are independent of each other. It further suggest that a change in one variable does not Granger cause a change in another variable. The outcome is, neither unidirectional nor bidirectional causality. But, in terms of relationships, foreign exchange rate translation had positive significant effect on return on assets and negative effect on return on equity. The implication of the positive effect of foreign exchange rate translation is that naira is depreciating against other currencies, increasing the value of foreign currency dominated assets. We conclude that exchange rate fluctuation is a significant predicator of return on assets, but not return on equity over the research period. The study recommends that management should adopt proactive exchange rate risk management policies such as hedging strategies to reduce the financial effects of exchange rate changes. The study further recommended that given exchange rate movements, financial managers of the selected firms should incorporate exchange rate monitoring into their operational planning.

5. VALUE ADDED TAX AND SOCIAL WELFARE IN NIGERIA
5

Amakuro Darocha*
Department of Accounting, Faculty of Management Sciences, University of of Port Harcourt, Nigeria
57-71
https://doi.org/10.5281/zenodo.18789698

Fiscal tool such as value added tax is employed to enable government finance its public activities with a view to minimizing the distortions created by market forces. There is no doubt that value added tax, indeed increases government revenue, but how has the revenue generated from value added tax impacted on economic development of Nigeria is an issue of concern among other factors. This outcome focused on the effect of Value Added tax on social welfare in Nigeria. The outcome utilized vector Error correction model based on pooled data frame work for the period 1993 – 2023. The use of VECM was to determine the short-run dynamics and long-run equilibrium adjustment among the various variables while Philip-Peron Test was conducted to ascertain the stationarity of the variable in the time series. The outcome of the outcome indicate that value added tax had insignificant contribution to social welfare in Nigeria. The outcome conclude that higher value added tax efficiency may coincide with lower levels of economic distress and when well-managed can contribute to reducing unemployment rate over time. Based on the outcome of the outcome, recommendations and conclusion were made.





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