The traditional or classical function of taxation is that of raising government revenue. However, taxation has now become a manifaced instrument for reshaping economic landscape of ailing economies while still maintaining the revenue raising function. The Nigerian economy is monocultural in nature depending on oil. Again, with the increasing integration of the economy into the emerging global economy, it does appear that corporate entities in the country are too weak to withstand competition in the global market. Consequently, attempts are being made to diversify the economy and encourage corporate mergers and acquisitions to provide a stronger base for their operations. The Finance Act, 2019 which has amended several tax laws is geared towards achievements in this direction. Through the doctrinal approach, this paper has found that the amendments in the Finance Act, though, well intended, the provisions in respect of tax incentives as a stimulus for investment in the agricultural sector and mergers and acquisitions may be frustrated by beneficiaries. The amendment has also increased VAT rate from 5% to 7.5%. Though this regime has the capacity to increase revenue generation, it also has the potentials to increase the prices of vatable goods and services. The paper finally recommends that rather than engaging in a wasteful regime of tax incentives, government can stimulate investment through provision of basic infrastructure like water, good roads, and power supply. Again, rather than increase VAT rate, the tax administrative machinery should be strengthened towards more efficiency which can lead to higher revenue yields, the paper concludes.