Effect of Firm Attributes on Tax Aggressiveness of Quoted Insurance Firms in Nigeria

Because corporate tax aggressiveness has the potential to lower government revenue and compromise the fairness of the tax system, it has become a key worry for governments, regulators, and stakeholders. This study examined the effect of firm attributes on tax aggressiveness of quoted insurance firms in Nigeria. The population of the study, which used an ex post facto research design, consists of all twenty-two (22) insurance companies that were listed on the Nigerian Exchange Group (NGX Group) as of December 31, 2024. A sample size of twenty firms was chosen using the filtration sampling approach. The information utilized came from the yearly reports of the twenty (20) insurance companies that are listed on the Nigerian Exchange Group. Following a few diagnostic tests, the hypotheses were examined using a random effect regression model. The findings demonstrated that the effective tax rate of listed insurance companies in Nigeria is significantly positively impacted by business leverage. The findings also demonstrated that the effective tax rate of quoted insurance companies in Nigeria is marginally positively impacted by profitability. In order to guarantee that tax planning operations are carried out within moral and legal bounds, the study suggested that insurance companies set up more robust corporate governance and internal control mechanisms. The report also suggested that insurance companies make balanced financing decisions that don't rely too much on debt just to lower tax responsibilities because leverage can act as a tax shield through interest deductibility.