The Federal Government has reassured Nigerians that its drive to shore up government revenue will not translate to increasing taxes.
The chairman of Federal Inland Revenue Service, Zacch Adedeji, gave this assurance on Thursday at the opening of a three-day workshop on enhancing tax compliance and revenue generation organised for Accountants-General of states, directors of finance of FCTA and Federal Government Owned Enterprises in Abuja.
He stated that the focus is on blocking leakages and ensuring full compliance with the existing tax laws.
According to him, the FIRS has in recent times achieved better performance through the integration of technology, improved processes, and capacity building.
He said the advancements have not only enhanced tax compliance but have also positioned the service to meet its ambitious target of an 18 percent tax-to-GDP ratio by 2026.
Speaking to the theme of the workshop “Enhancing Tax Compliance: Empowering Stakeholders for Effective Tax Remittance and Reporting”, Adedeji said as Accountants-General, they serve as vital agents of government, ensuring that taxes are collected and remitted in a timely and efficient manner.
“We are all agents of the same government, united by one vision: to ramp up revenue for the growth and development of Nigeria and, by extension, for the benefit of its citizens,” he said.
On the critical role the Accountants-General have to play in the quest to mobilize revenue for government, he said, “You are responsible for ensuring that VAT is charged and remitted, that Stamp Duties are paid on contracts, and that Withholding Tax (WHT) elements in contracts are properly withheld and remitted.”
The FIRS boss noted that the government has also made efforts to simplify the tax remittance process, particularly through the centralized payment system where Accountants-General handle payments on behalf of government agencies.
“This has been instrumental in ensuring swift remittance of taxes such as VAT, WHT, and Stamp Duties,” he said.
“We have also reduced the WHT rates to focus on taxing profits rather than revenue, a move that aims to ease the burden on businesses and citizens.
“While this may reduce the immediate tax collection, we believe that with enhanced compliance and collaboration, we can expand the tax base and make up the difference.”
While calling on them to use the workshop to reaffirm their commitment to the shared objective of increasing government revenue, he said, “If there is anything that has been demonstrated by sovereigns or institutions that has made remarkable strides in tax compliance, it is that they are very intentional towards collaboration and the establishment of a support systems that encourage compliance across all tax categories.”
In her goodwill message, the Accountant-General of the Federation, Mrs. Oluwatosin Madein, commended the Accountants-General of states that made it to the workshop, noting that the workshop was timely because it is imperative that stakeholders are empowered.
Mrs. Maiden, who was represented by Mr. Ademola Makinde, urged the participants to help the government in its quest to generate enough revenue to provide services for the people.
Participants from across the 36 states of the federation and the FCT attended the workshop.
