ABSTRACT:- This study investigated the impact of corporate taxation on the dividend policies of selected deposit money banks listed on the Nigeria Exchange Group. Utilizing ex-post facto and correlational research designs, the researchers employed ordinary least square estimation and regression analysis to explore the relationship between corporate taxation and dividend policies of these banks. Data were sourced from the audited annual reports and accounts of the selected banks for the period from 2013 to 2022. The findings revealed that company income tax has a positive but insignificant effect on dividend policy. Additionally, the study found that the national information technology development levy and capital gains tax have a negative and insignificant effect on dividend policy. Additionally, the study found a negative and significant relationship between tertiary education tax and dividend policy, whereas the effective tax rate had a positive and significant effect on the dividend policies of listed deposit money banks in Nigeria. Based on these findings, the study recommends that bank management should tailor their dividend policies to the specific characteristics of their banks, taking corporate taxation into account to enhance investment opportunities. Furthermore, listed deposit money banks should prioritize tax compliance, as this would improve the business environment and drive long-term profitability, ultimately leading to increased dividend payouts.

Keywords: Corporate taxation, Dividend policy, Deposit money banks, Company income tax, Effective tax rate