The study examines “The Impact of Taxation as an aid to Economic Development in Nigeria , Problems and Prospects” (A Study of South East States, Nigeria). Simple percentage were used to analyze the response from the distributed questionnaires and ANOVA were used in analyzing the table. In respect to my findings, my main findings is that there are poor tax administration, tax evasion and avoidance were the order of the day. The study revealed that taxation is the main sources of revenue in Nigeria. The study also recommends that public enlightenment on taxation, elimination of loop-wholes in tax laws, computerization of tax records and total reorganization of tax officers in Nigeria tax system enhances tax administration. Keywords: Tax admin...