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Abstract

This research is necessitated by widespread of the effectiveness of income tax as a source of revenue to River State. This research emphasized the need of solving inefficiency of taxation and problems in River state. The background of this study attributes generating revenue as an important aspect of government activities. That is compounded by the fact that capital formation and recurrent expenditure have to be meant by government and the statutory allocation to the State governments by the Federal Government is always not enough to meet these expenditure, another fact is that income tax generates revenue to the River State Government which enables her to position social amenities in the state and which enhances the development of the state. It also encourages the tax payers to pay their taxes when due. 

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