research work is aimed at evaluating taxation as a major source of government funds and the impact on management decision making with particular reference to Enugu State Board of Internal Revenue. This work examined the impact of taxation on management decision making, evaluation of the role of taxation in the development of Nigeria, Enugu state in particular, and the various problems associated with taxation in Enugu state. Data for the study were sourced from two main sources which include Primary and Secondary sources. Primary data were questionnaires and oral interviews. Secondary data were Journals, magazine and other relevant materials. Extensive literature review was carried out. The research instrument used in this study includes oral interview and questionnaire. The questionnaire is structural as to contain both close and open ended questions. Simple tables and percentages were used in the analyses while chi-square was also used in the analyses. The researcher found out that taxation has significant impact on management decision making. Taxation also has so many roles to play in the development of Nigeria, Enugu state in particular. The researcher equally found out that many individuals and companies evade tax in Enugu state. Based on the findings, it is recommended that more tax offices should be opened at strategic positions in the state, staff should be continuously trained and motivated, and more customary courts and revenue courts should be established in the state.