INTERNATIONAL FINANCIAL REPORTING STANDARD IMPLEMENTATION AND TAX ALIGNMENT IN POST-REFORM NIGERIA

Abstract

vThis study examines the impact of International Financial Reporting Standards (IFRS)
implementation on corporate tax reporting quality and tax alignment in post-reform
Nigeria, with a particular focus on the mediating effect of Corporate Tax Reporting Quality
and moderating effect of regulatory support. By employing Structural Equation Modeling
(SEM) on data collected from Nigerian firms, the study reveals that IFRS implementation
has a significant positive effect on Tax Reporting Quality, which in turn mediates the
relationship between IFRS implementation and tax alignment. Moreover, regulatory
support and reporting complexity are found to moderate the strength of the relationship
between IFRS implementation and tax alignment. These findings highlight the essential
role of regulatory frameworks and the quality of tax reporting in fostering better tax
alignment in Nigeria's post-reform era. The study provides insights for policymakers and
corporate managers on enhancing tax compliance and alignment through effective IFRS
implementation and regulatory support.