Business and Economy
FIRS allays fears over tax reforms …as Senate commends it on increased revenue
Iyojo Ameh
The Chairman of Federal Inland Revenue Service ( FIRS ), Zacch Adedeji , has allayed fears of Nigerians on possible introduction of new taxes through proposed tax reform laws .
Adedeji who made the fear allayment during an interactive session with members of the Senate Committee on Finance in Abuja on Tuesday, specifically assured Nigerians , that the tax reform laws , would not entail introduction of new taxes or increase of already existing ones .
” Tax reform will not introduce any taxes or increase percentage of existing ones but reduce number of taxes being paid by Nigerians .
” No agency will be merged in the process of carrying out the reform and no job will be taken from anybody .
” The Tax reform basically seeks to increase simplicity and efficiency of tax administration in Nigeria “, he said .
He further allayed the fears of Nigerians that the existing tax policies introduced by President Bola Tinubu are not meant to tax poverty but prosperity , fruits and not seeds , returns and not investments .
On the Executive bills already forwarded to both chambers of the National Assembly for legalising the reform, the FIRS boss , said ” the four bills which are (i) Nigeria Tax Bill , ( ii) Nigeria Tax Administration Act ( amendment) bill, ( iii) Nigeria Revenue Service Bill and (iv) Joint Revenue Board ( establishment ) bill ; when passed into law , would among others ; help to harmonize the multiple tax laws in the country.
” Drive efficiency and modernization , simplify tax laws and ensure synergy among agencies involved, increase efficiency and effectiveness in government savings, promote transparency and integrity in revenue collection , align with international standards, broaden Nigeria’s tax base etc “.
When asked to explain why FIRS as contained in one of the bills , would be changed to Nigeria Revenue Service ( NRS), the Chief Tax Collector said the present name of the agency does not cover the scope of its services , like the Value Added Tax ( VAT) , 85% of which according to him, are remitted to States while the Federal government gets the remaining 15%..
In his remarks , the Chairman of the Committee, Senator Sani Musa ( APC Niger East ) , said the purpose of the interactive session was to be updated by the FIRS boss on what and what the tax reform bills are aiming at .
” Tax reforms lie at the heart of government agenda and requires constructive inputs from all stakeholders “, he said .
He commended the FIRS boss for meeting up with revenue targets set in the fiscal year but also urged him , to go beyond the target .
Many members of the committee like Senators Seriake Dickson ( PDP Bayelsa West) , Osita Isunazo ( APC Imo West) , Ahmed Wadada ( SDP Nasarawa West ) , also commended the FIRS boss on increased revenue generation by the agency , particularly non – oil revenue .