FIRS boss advises 3 tiers of government to give value for taxpayers’ money

FIRS boss advises 3 tiers of government to give value for taxpayers’ money

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The Executive Chairman of the Federal Inland Revenue Service (FIRS), Mr. Muhammad Nami, has advised the three tiers of government to give tax payers value for their money, adding that this would spur  them  to be willing to pay their tax.

Nami who  gave earlier in the week  in a message to the Nigeria Governors’ Forum’s 7th Internally Generated Revenue learning meeting, in Abuja, said  “Tax compliant citizens can legitimately expect their leaders to provide necessary amenities for a ‘good life’.

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 “This expectation is confirmed by the Constitution of the Federal Republic of Nigeria (as amended) in section 16(b) where it provides that ‘the State shall, within the context of the ideals and objectives for which provisions are made in this Constitution, control the national economy in such manner as to secure the maximum welfare, freedom and happiness of every citizen on the basis of social justice and equality of status and opportunity’.

 “Governments at various tiers must, in view of the constitutional provisions, imbibe the culture of “value-for-money” or, put in proper perspective, “value-for tax-money”.  

“The citizens should not just hear budget figures but must, within their immediate living quarters, feel, see and experience effects of tax revenue.  This, going forward, should be the norm and not an exception.”

The FIRS also challenged the governors to seek alternative sources of revenue, rather than the current situation in which most of them depend mainly on federation revenue for their expenditures.

He warned that dependence on oil revenue was no longer sustainable and that the earlier the sub-nationals started to fend for themselves the better.

His words, “Nigeria, over the years, has been dependent on revenue from crude oil. This source of revenue is no longer sustainable as the market for fossil fuel continues to deplete due to complications arising from the impact of the COVID-19 pandemic, the shift from fossil fuel to other cleaner sources of energy, rising cost of exploration, banditry and oil theft, etc.

In plain truth, the future of crude oil as a major revenue earner is very bleak.  Going forward, taxation remains the only sustainable source of revenue anywhere in the world – Nigeria is not an exception.

“To this end, Your Excellences need to adopt right tax policies that will ensure adequate funding for the much needed social-economic infrastructures.  Equally, it is important for governments, at all levels, to come together to fight tax evasion, touting, etc. which are negatively impacting tax revenue.”

 Nami further called for greater attention to be given to matters of taxation especially at the state legislatures.

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