Infrastructures, Taxation and Performance of Small and Medium Enterprises in Nigeria: Evidence from Calabar Metropolis

This study examined the effects of infrastructural development and taxation on the performance of micro and small enterprises in Calabar Metropolis. The study adopted the survey design. The sample of the study was 370 micro and small enterprises in Calabar Metropolis, the instrument of data collection were the questionnaire and the data collected was analyzed using the chi-square technique. From the chi-square result, it was indicated that there is a significant effect of electricity supply on profitability of micro and small enterprises in Calabar Metropolis, there is a significant effect of road infrastructures on product/service delivery of micro and small enterprises in Calabar Metropolis and there is no significant effect of taxation on the performance of micro and small enterprises in Calabar Metropolis. Based on the findings, the study recommended that government should come up with uniform tax policies that will aid development of small scale businesses in Calabar Metropolis, in order to obtain a vibrant and flourishing small scale business sector, the tax policy needs to be appropriate such that it will neither be a burden to the small scale businesses nor discourage voluntary compliance, government should evolve a tax policy that would encourage investments in small scale businesses.