News Agency of Nigeria
New tax law’ll boost FDI, empower SMEs- IMPI
General News

New tax law’ll boost FDI, empower SMEs- IMPI

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‎By Muhyideen Jimoh
The Independent Media and Policy Initiative (IMPI) says the Nigeria Tax Act 2025 will enhance foreign investment and empower Small and Medium-sized Enterprises (SMEs).
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‎The group disclosed this in a policy statement signed by its Chairman, Dr Omoniyi Akinsiju, on Tuesday.
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‎Akinsiju said the law, effective January 2026,  introduced provisions that abolished double taxation and encouraged business expansion.
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‎“With the implementation of the Nigerian tax laws starting in January 2026, foreign direct investment inflows into the country are expected to be reinvigorated.
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‎“A major thrust in this regard is the adoption of the Minimum Effective Tax Rate (ETR) in the Nigerian Tax Act 2025 and other fiscal measures,” Akinsiju stated.
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‎He explained that the new law brought clarity, a lower effective tax rate, and eliminated dividend double taxation.
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‎“The normal company income tax rate on a large company in Nigeria is 30 per cent of the company’s profit,
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‎“With the adoption of the ETR, Nigerian companies that are members of a multinational group with an aggregate group turnover of 750 million euros and above or have an annual turnover of 50 billion Naira and above will now be subject to a minimum effective tax rate (ETR) of 15% of their net income.
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‎“The goal is to avoid the double taxation of dividends and unrealised gains or losses.
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‎“This reduction in tax rates and clarity around double taxation for multinational companies will undoubtedly influence the flow of global capital to Nigeria,” he said.
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‎Akinsiju noted that the Act would also improve Nigeria’s ease of doing business.
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‎“In addition, the tax exemption threshold for selling company shares in Nigerian companies has been increased to 150 million Naira (from 100 million Naira) in any 12 consecutive months, provided that the gains do not exceed 10 million Naira. This is another ease-of-doing-business policy.”
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‎He said the law would benefit local businesses, especially SMEs, through tax reliefs.
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‎“This results from the simplified compliance and reduction in tax burden on businesses, particularly Micro, Small, and Medium Enterprises (MSMEs) as enunciated in the NTA 2025.
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‎“This will foster a more favourable environment for business expansion and job creation.
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‎“Besides, lowering business taxes (e.g., Corporate Income Tax), as exemplified in the Act, can encourage investment and capital formation, potentially boosting economic growth.
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‎“The overall tax structure, including the progressivity of income taxes, can influence income distribution and aggregate demand, affecting economic growth.”
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‎Akinsiju said the Tinubu tax reforms could reshape Nigeria’s economy more than any other policy in a generation.
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‎“Our verdict is that Nigeria’s federal administration, led by President Tinubu, has gifted the country a body of legacy fiscal policies with the potential to transform the Nigerian economic space more than any policy deployment in a generation,” Akinsiju stated.
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‎He said the four tax acts passed met the fiscal needs for fast and inclusive growth.
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‎“By our reckoning, these tax reforms, as reflected in the substance of the four tax acts, alongside the removal of fuel subsidies and the harmonisation of foreign exchange transactions windows are crucial.

“They are at the heart of the coordinated effort to reset the Nigerian economy on a sustainable and inclusive growth path,” he added.(NAN)(www.nannews.ng)

Edited by Chioma Ugboma

ICAN hails Tinubu, says new tax law ‘ll impact livelihood
Economy/Business

ICAN hails Tinubu, says new tax law ‘ll impact livelihood

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By Jacinta Nwachukwu

The Institute of Chartered Accountants of Nigeria, (ICAN), has commended President Bola Tinubu for signing into law four tax reform bills on key areas of Nigeria’s fiscal and revenue framework.

Malam Haruna Yahaya, the 61st President of the institute gave the commendation at the investiture of Sani Danbaba as the 5th Chairman, Gwagwalada and District Society of ICAN in Gwagwalada town, Federal Capital Territory

The News Agency of Nigeria (NAN reports the event also witnessed the inauguration of the Executive Committee for the district .

Yahaya commended the President for the novel holistic review of the tax laws of the country, adding that the new law will be of particular benefits to low income earners.

The ICAN President, who was represented by Matthias Dafur, a Council member of the institute, said the new law will address tax burdens which had been in existence for over five decades.

NAN recalls the President assented the four tax reform bills at a ceremony held at the Aso Rock Presidential Villa, Abuja on Thursday.

The four bills include: the Nigeria Tax Bill, the Nigeria Tax Administration Bill, the Nigeria Revenue Service (Establishment) Bill, and the Joint Revenue Board (Establishment) Bill.

They were passed by the National Assembly after months of consultations with various interest groups and stakeholders.

Speaking on the investiture and the Exco inauguration, Yahaya advised the members to work as a team to take the district to a greater heights.
“They are assuming a task that is not easy. But they are capable and they are all well tested and I believe they are going to do well,” he said

On his part, the new chairman of the district, equally commended Tinubu on the new tax law, noting that it has captured all the major tax components into one legislation.

He said the new development would assist agencies and companies to grow.

On his area of focus, he said the new team would dwell mainly on the micro, medium and small sector entrepreneurs around their locality to see how they could add value to their operations.

He explained that 60 per cent of the economic activities going on in Nigeria were being done by the micro, small and medium sector enterprises.

Also speaking, the ICAN outgone district chairman, Sosanwo Akinwunmi congratulated the new team and urged the members to consolidate on the achievements recorded so far. (NAN)

Edited by Rotimi Ijikanmi

Nigeria’s emerging tax regime responsive to taxpayers’ concerns- Minister
Economy/Business

Nigeria’s emerging tax regime responsive to taxpayers’ concerns- Minister

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By Kadiri Abdulrahman

Nigeria is building a tax administration that will be effective in revenue mobilisation and also responsive to challenges faced by tax payers.

The Minister of State for Finance, Dr Doris Uzoka-Anite said this on Tuesday in Abuja, at the TaxADR Roundtable, with the theme “unlocking Revenue and Strengthening Dispute Resolution: A Roadmap to Tax ADR in Nigeria”.

The minister was represented by Mrs Ndidi Chineyolum, a director in the ministry.

According to her, Nigerians are living in a time when the imperatives of economic reform, inclusive growth and sustainable public finance demand more innovative and operative approach.

She said that collaboration in the resolution of tax disputes captured the essence of what is required to build an efficient tax administration.

“It speaks directly to the fundamental values that underpin a modern progressive tax system, mutual trust between taxpayers and the authority, procedural fairness in enforcement and administrative efficacy in resolving disputes.

“More than just a slogan, this theme challenges us to reflect on how we can bridge the gap in understanding, reduce adversarial interactions and foster a culture of dialogue and accountability.

“It underscores the need for us all, especially the government, and other stakeholders to create a system where disputes are resolved not through prolonged confrontation, but through seizing and raising a timely consensus,” she said.

The minister said that as a nation striving to broaden its non-oil revenue base, tax compliance remained both a strategic priority and an existing challenge.

“With the global shift away from commodity dependence, Nigeria must strengthen its domestic revenue capacity to sustain national development.

“Over the past decade, the landscape of tax disputes has become increasingly complex, both in volume and in nature of issues arising from a growing business model and regulatory framework.

“The adversarial nature of traditional litigation often results in prolonged resolution timings, escalating legal expenses and strained relationships between taxpayers and revenue authorities,” she said.

She said that the situation not only delayed revenue collection, but also brought in a climate of uncertainty and tension within the tax equity play.

“Such friction undermines more than just revenue modernisation.

“It weakens investor confidence, erodes public trust, disrupts the foundation of a stable and predictable fiscal environment ” she said.

The Attorney-General and Minister of Justice, Lateef Fagbemi, said that it was imperative for Nigeria, like any other country to expand its revenue base through taxation.

Fagbegbi, who was represented by Oloyede Hussein, Special Adviser to the President on Arbitration, Drafting and Resolution, said it was important to enhance compliance and build public trust in the country’s tax systems.

“But we must not do so through coercion or confrontation, but by fostering a tax culture rooted in fairness, dialogue and accountability.

“This is where the Alternative Dispute Resolution (ADR) comes in.

“In international context, ADR has long been recognised for its efficiency, cost-effectiveness and ability to preserve relationships. These are the very values we must infuse into our tax system,” he said.

He urged taxpayers to always expect these arguments to arise, they can explore dialogue and a commitment to resolution over conflict.

“This roundtable offers us an opportunity to learn from the international best practices,” he said.

Mr Lateef Yusuff, the Founder and Convener of the TaxADR roundtable said that the gathering brought together stakeholders from across governments, the private sector, academia and the international community.

Yusuff said that the purpose was to consider how best to embed ADR into Nigeria’s tax landscape.

“This roundtable is especially timely, coming on the heels of several landmark developments ” he said.

He cited the recent reform of Nigeria’s tax legislation, the enactment of the Arbitration and Mediation Act and the National ADR policy as instances of such landmark developments.

“Together these developments provide a strong legal and policy foundation for the integration of ADR into Nigeria’s tax system, ” he said.

Anita Erinne, the Coordinating Secretary. Tax Appeal Tribunal, expressed the readiness of the committee to improving access to justice in tax disputes.

Delivering a keynote address on new tax reforms and the role of ADR, Erinne said that tax disputes affected the bottom line of government, and also the livelihoods of citizens and the fortunes of businesses.

“We will encourage collaborative tax administration. We will now contribute a great deal to the rule of law, economic stability and national development.

“I also recognise the fundamental role of the Federal Inland Revenue Service (FIRS) in championing a more responsive and modern tax system.

“The FIRS has shown willingness to engage in reforms, and I commend the Executive Chairman, Dr Zacch Adedeji, for sharing this vision and supporting the implementations of tax ADR in Nigeria,” she said.

Erinne said that Nigeria was undergoing a digital transformation of its tax system.

According to her, the tax rate is currently at about 13 per cent.

“A tax system is built on both taxation and collaborative action, flexibilities in efficiency and public responsibility,” she said. (NAN)

Edited Ese E. Eniola Williams

Tax: Wike says ‘big men’ remain FCT’s biggest problem
Metro

Tax: Wike says ‘big men’ remain FCT’s biggest problem

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By Philip Yatai

The Minister of the Federal Capital Territory (FCT), Mr Nyesom Wike, says big men (rich people) residing in Abuja remain FCT’s biggest problem in voluntary tax compliance for development.

Wike stated this during the inauguration of the newly constructed Collector Road CN2 (Zakari A. Kyari Street), in Abuja on Thursday, by President Bola Tinubu to celebrate his second year in office.

The road, from Arterial Road N11 (Ahmadu Bello Way) in Mabushi to Katampe District, leading to Judges Quarters and other connecting roads were constructed by the FCT Administration.

The minister said that the big men living in the FCT do not like paying taxes.

He, however, expressed dismay that the same big men pay their taxes and ground rent voluntarily in London, the United States of America and other foreign countries.

He said that the CN2 road and other connecting roads in Katampe District were executed with taxes and ground rents paid by responsible residents.

“For those who said we sealed their houses for not paying a ground rent, see the value; see the product of paying a ground rent.

“If you don’t pay, nobody will provide this infrastructure because the only thing the city has is just to collect taxes.

“People say Abuja is rich. How rich is it?” he asked.

He explained that what Abuja collects from the Federation Account was one per cent of what was due to the Federal Government every month.

“So, assuming that the federal government gets N800 billion every month. One percent of N800 billion is N8 billion Naira and N8 billion is not enough to pay salaries.

“Our salary today is not less than N13 billion because of the minimum wage increase.

“So, if we only depend on one per cent of what the federal government gets every month, it means that we can only pay salaries, not to talk about carrying out infrastructure.

“That’s why we’re very aggressive in saying you cannot enjoy infrastructure free of charge. You have to pay.

“It has nothing to do with ‘I belong to party A; I belong to party B, I belong to party C’,” he said.

He urged Tinubu, who was represented by the Deputy Speaker of the House of Representatives, Mr Mr Benjamin Kalu, to talk to FCT residents on the need to pay their taxes.

This, he said, would enable the FCT Administration to deliver more infrastructure in the territory for the good of all.

He reminded FCT residents, particularly big men, that whoever has land in the territory and has not paid ground rent should pay or their names would be published as defaulters in newspapers.

He particularly pointed out that no poor man has the financial resources to build a house in Katampe and Mabushi, adding that those building houses in the areas were rich men.

“Mr Deputy Speaker, see what we are talking about. If you know you have land here and you have not paid, I will publish your name that you have not paid.

“It has nothing to do that I want to embarrass you, no. We need money to do the work that we are doing.

“No poor man can do these houses. No poor man. These houses are being built by rich men. So, you have to pay so we can carry out the job of delivering critical infrastructure.

“We need people to pay their taxes so that we will carry out development in the interest of our people,” he added.

Earlier, Mr Richard Dauda, acting Executive Secretary, Federal Capital Development Authority, said that the project was executed by CGC and was flagged off in October, 2024.

Dauda said that the CN2 road was a dual carriageway of two lanes each while the other roads were single carriageway.

He added that road projects were executed to provide infrastructure and open up the Katampe District for development.

The News Agency of Nigeria (NAN) reports that shortly after the inauguration, Wike inspected Judges Quarters under construction in Katampe and the N5 Road (Obafemi Awolowo Way) from Life Camp to Ring Road III scheduled for inauguration on Friday. (NAN)

Edited by Abiemwense Moru

Abuja residents not paying taxes my greatest challenge – Wike
Metro

Abuja residents not paying taxes my greatest challenge – Wike

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By Philip Yatai

The Minister of the Federal Capital Territory (FCT), Mr Nyesom Wike, says his greatest challenge as minister of the nation’s capital is residents refusing to pay their taxes.

Wike stated this after he inspected ongoing projects in the city, in preparation for inauguration to celebrate President Bola Tinibu’s second year in office.

The projects inspected are the Abuja International Conference Centre (AICC) and the extension of Phase I of the Obafemi Awolowo Way (N5), from Life Camp Junction to Ring Road III.

Also inspected is the completed interchange at NICON Junction, the road network leading to Judges’ Quarters and the road leading to Wole Soyinka Way, which were also completed.

The minister said that people want to see facilities and infrastructure but nobody cares about how the government raised the money.

He pointed out that the FCT depends solely on taxes for its revenues since it was among the oil producing states.

He said that most elites owned houses in foreign countries and knew the implications of not paying their taxes, adding that they would lose their houses if they failed to pay.

“But when it comes to your own country, you don’t want to pay simply because nobody wants to obey the law and everybody thinks that there will be no sanction.

“I have said it before, that it did not happen yesterday does not mean it won’t happen today; that it did not happen today it does not mean it will not happen tomorrow.

“We must do something to support the government to get the facilities and infrastructure that we need,” he said.

He said that property owners have not paid their ground rent for more than 30 years, adding that the amount had remained unchanged for a very long time.

He, however, said that the FCT Administration was considering increasing the amount.

Speaking on the two weeks grace granted to ground rent defaulters by Tinubu, the minister said that no blackmail would stop the FCT Administration from doing what it was supposed to do.

“Let nobody think that blackmail will stop us. We will do what we are supposed to do. This is about leadership.

“We will not give in to black mail. If you have not paid, we will take over the property,” he said.

Wike also disclosed that he had signed more than 1,500 Certificate of Occupancy (C of O) before he travelled last week, adding that people just collect the C of Oand would not pay the statutory ground rent.

“It doesn’t matter what anybody wants to say, it is not acceptable.

“This is one of the heavy challenges we are facing and I assure you we will surmount it,” the minister said.

Speaking on the projects, the minister commended the quality of Job at the rehabilitated AICC, adding that the contractor, Julius Berger has fulfilled its promise.

“We were also at Life Camp Junction Road to Ring Road III which is also 95 per cent completed and Julius Berger said before next week, it will be ready.

“We were at the NICON Interchange and you can see that the contractor, CGC, has done a marvellous job.

“They have completed the Interchange; they have completed the road network leading to the judge’s quarters, and from here to Jahi, leading to Wole Soyinka Way has also been completed.

“I feel so happy that the contractor has lived up to expectations. The quality of work is superb and I am sure residents in this area will be very happy with Mr president,” he said.

Wike added that Tinubu had promised to provide infrastructure to residents of Abuja and “these are some of the infrastructures he has provided”.

The News Agency of Nigeria (NAN) reports that the FCTA had on Monday, began taking over 4,794 revoked properties in the territory over unpaid ground rent, amounting to more than N6 billion.

Tinubu, however, gave the defaulters 14-day grace to pay the outstanding ground rent and associated penalties.

Edited by Abiemwense Moru

MSMEs ‘ll thrive with tax exemptions under new reform bill – SMEDAN
Economy/Business

MSMEs ‘ll thrive with tax exemptions under new reform bill – SMEDAN

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By Lucy Ogalue

The Small and Medium Enterprises Development Agency of Nigeria (SMEDAN) says the proposed tax reform bill will significantly reduce financial burden and create a growth-enabling environment for small business owners.

The Director-General of SMEDAN, Mr Charles Odii, said this at a stakeholder engagement on tax reforms organised by the agency on Friday in Abuja.

The News Agency of Nigeria (NAN) reports that the theme of the event was, “Understanding the Tax Reform Bills:Benefits and How MSMEs can maximise Tax”.

Odii said that the bill, when passed into law, would eliminate multiple taxations and exempt businesses earning below N100 million annually from key taxes.

“We have 39,654,385 nano, micro small and medium enterprises (MSMEs)in Nigeria, and the first step towards ensuring their success is sensitisation.

“Many small business owners are unaware that if this tax reform bill is passed, they will no longer be required to pay VAT, CIT, PAYE, and several other taxes,” he said.

According to Odii, the reform is designed to encourage business formalisation and expansion without the fear of excessive taxation.

He also commended the House of Representatives for passing the bill and urged the Senate to follow suit.

“When small businesses flourish, the entire economy benefits. This reform will remove unnecessary regulatory bottlenecks, allowing MSMEs to thrive,” he said.

The President of the Nigeria Association of Small and Medium Enterprises (NASME), Dr Abdulrashid Yerima, also lauded the proposed reforms.

Yerima said that the bill addressed key challenges faced by MSMEs, particularly multiple taxation and arbitrary levies by regulatory agencies.

“Our members have long struggled with excessive taxation at different levels; import duties, levies on turnover, and arbitrary charges from state and local governments.

“The chairman of the Tax Reform Committee has clarified that many of these burdens will be eliminated once the bill becomes law,” Yerima said.

He further emphasised the need for proper implementation to ensure that non-state actors and unauthorised tax collectors did not continue to impose levies on small businesses.

He said that the reform would promote economic growth by allowing small businesses to reinvest their earnings, scale operations, and create more employment opportunities.

The Chairman, Presidential Committee on Fiscal Policy and Tax Reforms, Taiwo Oyedele, emphasised the necessity of overhauling the tax system to foster economic growth and alleviate the tax burden on small businesses.

Oyedele reiterated the challenges faced by small business owners, including multiple taxation and exploitation by revenue officers.

He said that many entrepreneurs lacked the resources to navigate complex tax demands, making them vulnerable to undue pressures.

“To address these issues, the committee proposed significant reforms, such as eliminating Value-Added Tax and withholding tax for businesses with annual turnovers below N100 million.

“Additionally, salaries up to N100,000 per month would be exempted from Pay-As-You-Earn (PAYE) tax.

” These measures aim to reduce the administrative burden on small enterprises, allowing them to focus on growth and innovation,”he said.

Oyedele underscored the importance of data-driven policy-making, referencing collaborations with organisations like the Faith Institute to gather credible data on the challenges faced by small businesses.

He said that the strength of a nation was reflected in how it treated its most vulnerable citizens.

He advocated for reforms that provide small businesses with the space to thrive without undue tax pressures.

“These reforms are designed, not merely to generate revenue, but to create a more equitable and supportive environment for small businesses, thereby laying a sustainable foundation for Nigeria’s economic growth and development,” he said.

Earlier, Mrs Linda Omubo-Pepple, SMEDAN’s Director of Partnership and Coordination, said that collaboration between policymakers and business stakeholders was important in shaping Nigeria’s tax policies.

Omubo-Pepple said that tax reforms played a critical role in driving economic growth while ensuring the sustainability of MSMEs.

“As we navigate the tax reforms, it is essential that we foster open dialogue between policymakers and business stakeholders.

“The impact of these reforms will be felt across industries, and this session provides a unique platform to engage, share insights, and collectively address key concerns,” she said.

The meeting, attended by key MSME stakeholders and representatives of the Federal Government, also provided a platform for business owners to ask questions and gain clarity on the provisions of the reform bill. (NAN)

Edited by Kadiri Abdulrahman

KADIRS rakes N14.16bn IGR in 2 months
Economy/Business

KADIRS rakes N14.16bn IGR in 2 months

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By Sani Idris-Abdulrahman

The Kaduna State Internal Revenue Service (KADIRS), said it has collected N14.16 billion revenue between January and February 2025, while debunking claims of a decline in Internally Generated Revenue (IGR).

The KADIRS Head of Corporate Communications, Zakari Muhammad, disclosed this in a statement issued to newsmen on Friday in Kaduna.

He said the service was prompted by a recent mischief claiming a decline in the state’s IGR under the administration of Gov. Uba Sani.

Muhammad said in January and February 2025, the state had already collected an IGR of N7.47 billion and N6.69 billion respectively, making a total revenue collected to N14.16 billion in the two months.

He equally said that a validation of the reforms in the state’s revenue sector under Sani, collected an IGR of N62.48 billion and N71 billion, in 2023 and 2024, respectively.

This feat, he said, consolidated the state’s place as the leading IGR performing state in Northern Nigeria in the last two years.

Muhammad said, “The current level of IGR collection of the state, speaks to the competence of the Chairman and the management team of the service.

“We are also extolling the support we are enjoying from the state government to function as a professional and apolitical revenue authority of the state.”

The spokesperson said that the rumor circulating that the former Executive Chairman of the KADIRS was removed for calling out the state’s House of Assembly Speaker for refusing to pay taxes was baseless.

Muhammad stated that the former executive chairman served his entire four-year tenure as provided in the Kaduna State Tax Codification and Consolidation Law, after which a new Executive Chairman was appointed by the Governor.

He added that in the last two years, the state had implemented innovative revenue administration reforms.

They included the introduction of an integrated tax administration portal (PAYKADUNA), financial inclusion initiatives, enhanced taxpayers and stakeholders’ engagement.

Muhammad also said the service deployed a first-of-its-kind interactive voice response system for taxpayer complaint redressal, among other initiatives that had resulted in improved tax administration in the state.

According to him, the automation efforts of the service had ensured that a process exists for facilitating collections.

“Payments are made through the PAYKADUNA portal or via pay direct channels from which they are swept directly into the state’s Treasury Single Accounts, ensuring that staff of the service have no access or interaction with state collections.

“The IGR account is a collection and transit account not an expenditure account.

“Therefore, it is highly inaccurate to think that any amount can be withdrawn from it to service any interests.

“It is also noteworthy that the service has never received any instructions to facilitate any 100 million naira payments to any individual or organisation,” he said.

Muhammad reiterated that KADIRS was an autonomous agency of the state, insisting, “it is committed to its mandate of facilitating seamless and efficient revenue mobilisation for service delivery without fear or favour to any individual or group.” (NAN)(www.nannews.ng)

Edited by Bashir Rabe Mani

 

FCT-IRS seals 3 business premises over unpaid taxes
Economy/Business

FCT-IRS seals 3 business premises over unpaid taxes

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By Nana Musa

The Federal Capital Territory Internal Revenue Services (FCT-IRS) on Friday, sealed the business premises of Phase3 Telecom and Cilantro Restaurant in Abuja, for failing to pay their tax obligations.

Mr Festus Tsavsar, acting Director, Legal Services, FCT-IRS, told journalists after the exercise in Abuja, that Phase3 Telecom, located at No 4, Yedseram Street, Maitama, was sealed over unpaid tax obligations.

Tsavsar, who is also the Head of the Enforcement Team, added two of Cilantro business premises were sealed for not filing its annual returns.

One of the premises is Cilantro Village, located inside Sarius Palmetum and Botanical Garden, Babangida Boulevard, Maitama, Abuja, while the other premises is located at Wuse Zone 5.

He explained that the action became necessary after several notices had been served on the defaulting taxpayers, but they refused to pay.

He said that Phase3 Telecom was owing the FCTA huge tax liabilities for three years

He added that the FCT-IRS had sent demand notices to the company several times, for more than three years, yet the company refused to pay.

“We invited them for a meeting, they came, wrote several undertakings but refused to pay the tax liabilities,” said.

For Cilantro, the director said that the company refused to file its tax returns for more than three years despite being served with several notices.

“We have written to them several times and they refused to file their returns; we invited them for a meeting, and they refused to honour the invitation,” he added.

Tsavsar said that to enforce compliance, the FCT-IRS had no choice other than to approach the court for a Court Order to seal off the business premises of defaulting taxpayers.

He assured the affected businesses that the premises would be unsealed once they settle all their tax obligations.

He said that the revenue services had carried out massive sensitisation campaigns, enlightening taxpayers about their tax obligation and encouraging them to pay voluntarily.

According to him, the revenue service will be going after every defaulting taxpayer and closed down business premises that refused to settle their tax obligation.

“We are, therefore, calling on tax defaulters to do the needful or risk the wrath of the law.”

The News Agency of Nigeria (NAN) recalls that the FCT-IRS had given employers of labour Jan. 31 to file their employees’ annual returns for 2024.

The revenue service also gave individuals until the end of March to file their returns. (NAN)

Edited by Philip Yatai

FCT-IRS to set up service kiosks in plazas, markets
Economy/Business

FCT-IRS to set up service kiosks in plazas, markets

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By Nana Musa

The Federal Capital Territory Internal Revenue Service (FCT-IRS) has concluded plans to establish service kiosks in plazas and markets in Federal Capital City and the six area councils.

Mr Michael Ango, acting Executive Chairman, FCT-IRS, disclosed this in Abuja on Thursday, during the service’s annual sensitisation campaign to mobilise FCT residents for voluntary tax compliance.

Ango explained that the move was to bring services closer to the people and promote voluntary tax compliance.

“Apart from sensitisation to promote voluntary tax compliance, very soon you are going to see us setting up kiosk offices in the plazas and the markets, both within the city centre and in the area councils.

“The whole idea is that we need to reach out to taxpayers wherever they are,” he said.

He noted that one of the complaints of taxpayers was that they were not seeing what their taxes were being used for.

He, however, pointed out that that was not the case in FCT.

“I believe that wherever you stay in the FCT, you will see at least some presence of the FCT Administration within your area.

“This could be roads, streetlights or one form of construction or the other and a lot of work is still being done,” he said.

Ango added that the FCT-IRS has 16 tax offices spread out across the city, adding that the service would be expanding into some of the areas without offices.

He also said that the service was going to partner with the market associations, the informal sector and the area councils to boost IGR collection in the FCT.

He appealed for the support of the public on voluntary compliance, saying, “Abuja is a city that needs revenue for development”. (NAN)

Edited by Philip Yatai

Tax Reform Bills: Customs duties beyond revenue collection– expert
Economy/Business

Tax Reform Bills: Customs duties beyond revenue collection– expert

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By Martha Agas

A customs and tax expert, Mr Okey Ibeke, says the duties of the Nigeria Customs Service (NCS) is not only limited to revenue collection but involves highly technical operations.

Ibeke stated this on Thursday in Abuja, following a public hearing on tax reform bills organised by the Special Committee on Tax Reform Bills on Wednesday.

He described the NCS as a specialised agency requiring advanced skills to effectively carry out its functions, adding that the proposed tax reforms could undermine its other specialised and critical operations.

The News Agency of Nigeria (NAN) reports that the proposed reform bills include the Nigeria Tax Bill, Nigeria Tax Administration Bill, Nigeria Revenue Service Establishment Bill, and Joint Revenue Board Establishment Bill.

The Comptroller-General (C-G) of the NCS, Adewale Adeniyi, had stated that the proposed tax reforms aligned with President Bola Tinubu’s commitment to an efficient tax system for the country.

Ibeke, however, said that the reform if passed in situ could jeopardise the customs service’s ability to perform its core functions.

He expressed concern that designated revenue agencies may lack the technical expertise, specialised workforce and training to handle the assigned operation of the NCS.

According to him, these agencies might struggle to detect undervalued or misclassified goods, potentially leading to the acceptance of inaccurate importer declarations.

“Customs involves classifying cargo, understanding tariff classifications, and conducting customs valuations.

“Without the expertise to classify cargo and determine the applicable duty rates, there will be significant challenges. Only well-trained customs personnel can effectively perform these functions,” he explained.

He added that NCS operations require applying Rules of Origin (RoO), which is essential for determining a product’s original source.

RoO, he said, is critical for assessing the value of imports, calculating appropriate revenue, and identifying fraudulent practices.

He said that these are tasks that general tax administration systems could be ill-equipped to handle.

Ibeke warned that passing the bills without necessary adjustments could render the NCS redundant and negatively impact revenue generation.

“Is the Federal Government planning to dismantle the customs service? Will they employ customs officers to work in the new agency? Will they create offices for them within the agency?

“ This could lead to confusion. Ultimately, the government, which aims to maximise revenue, stands to lose the most,” he said.

Ibeke pointed out that the NCS has already made significant strides in modernising its operations through its Trade Modernisation Project.

“The deployment of the ‘B Odogwu’ software, for instance, has contributed to increased revenue collection and positioned the service to surpass its 2025 revenue target,“ he said.

He urged the Federal Government to increase funding for the NCS to address revenue collection challenges rather than repealing the 2023 NCS Act, which took over eight years to pass into law.

“The NCS has established infrastructure and is leveraging technology to facilitate trade. Repealing the Act now will undermine these efforts and hinder progress,” he said.

NAN reports that during the public hearing, the C-G emphasised the importance of ensuring that the final bills do not contradict the Act, thereby preserving the agency’s core functions and operational efficiency.

Ibeke called for a balanced approach that would strengthen Nigeria’s tax system without compromising the critical functions of the existing critical revenue agencies. (NAN)(www.nannews.ng)

Edited by Ismail Abdulaziz

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