Taxation remains one of the most enduring instruments of statecraft, serving not only as a primary mechanism for public revenue generation but also as a potent policy tool for economic management, redistribution, and development. In developing economies such as Nigeria, the role of tax revenue has become increasingly prominent as governments seek to reduce dependence on volatile natural resource rents and external borrowing. This study provides a comprehensive, publication-ready synthesis of the transformation of tax revenue and its relationship with economic growth in Nigeria, grounded strictly in extant scholarly literature and institutional reports. Drawing on a wide range of empirical, theoretical, and conceptual studies, the article interrogates how tax revenue mobilization, structure, reforms, and administration interact with macroeconomic performance over time. The study adopts a qualitative-descriptive methodological approach, relying on rigorous analytical interpretation of prior empirical findings, theoretical models of taxation, and Nigeria-specific institutional realities. The article elaborates extensively on classical and modern theories of taxation, including optimal taxation theory, fiscal sociology, and development-oriented tax frameworks, and situates Nigeria’s experience within broader comparative and international contexts. Findings from the reviewed literature consistently indicate a statistically and economically significant relationship between tax revenue and economic growth, though the magnitude and direction of impact vary across tax types, time periods, and methodological approaches. Indirect taxes, particularly value added tax, are frequently associated with positive growth outcomes, while the growth effects of direct taxes are often mediated by administrative efficiency, compliance levels, and structural characteristics of the economy. The discussion highlights persistent challenges such as tax evasion, informality, weak institutions, and policy inconsistency, while also identifying reform opportunities linked to digitalization, governance improvement, and diversification strategies. The study concludes that sustainable economic growth in Nigeria is inseparable from a coherent, equitable, and efficiently administered tax system. By offering an integrated and deeply elaborated account of the tax–growth nexus, this article contributes to academic discourse, informs policy debates, and provides a robust foundation for future research on fiscal development in Nigeria and comparable economies.