IMPACT OF TAX PLANNING AND FINANCIAL PERFORMANCE OF QUOTED DEPOSIT MONEY BANK.

Abstract

This article emphasis on capturing tax planning and financial performance of quoted deposit money banks.By exploring the complex relationships between tax strategies employed and key performance metrics realized over time, this study aims to provide novel insights for optimizing shareholder value creation amid Nigeria's evolving fiscal landscape. The Objectives of the study aimed at analyzing the impact of tax planning on Returns on equity of quoted deposit money bank, to determine the impact of tax planning on Returns on investment of quoted deposit money bank and to examine the impact of tax planning on earnings per share of quoted deposit money bank. The research design used for this Research is ex-post facto research design to examine the relationship between tax planning and financial performance of quoted deposit money banks. The work employed the OSL regression analysis using E-views 10 software. The article found out that TP has a positive correlation with ROE. The regression analyses find no significant relationships between the independent variables of ETR and TP in predicting EPS, ROI, or ROE, while TP and ROE had a moderate positive correlation of 0.2416. Regression results indicated ETR and TP were not statistically significant in predicting EPS, ROI or ROE based on p-values above 0.05. It recommends that Based on the analysis, simple reliance on tax rates or profits to forecast key metrics like earnings or returns is misguided. Companies and policymakers require comprehensive modeling considering multiple influencing factors.