Robust, simplified tax system solutions to Nigeria’s revenue constraints — Osinbajo
…As stakeholders harp on ways to improve tax generation in Nigeria
By Ogaga Ariemu
The Vice President of Nigeria, Prof Yemi Osinbajo, SAN, has prescribed robost, simplified tax system as a prerequisite to end revenue generation challenges facing Nigeria.
Prof Osinbajo who was the guest of Honour at the 40th Anniversary of Chartered Institute of Taxation (CITN) public lecture held in Abuja on Tuesday, disclosed that there is a need to consolidate the gains recorded in Nigeria’s tax ecosystem through dynamism.
Professor Osinbajo who was represented by the Permanent Secretary, Ministry of Finance and Budget, Mr Aliyu Ahmed said the meeting was critical to widening the country’s tax base.
“Federal Inland Revenue Service (FIRS) was able to exceed its tax collection target for 2021 with record collection of N6.405 trillion naira for both oil and non-oil revenuee due to government support.
“We will continue to offer support by means of policies to ensure the development of the Nigeria tax system and improved revenue performance. Revenue generation remains the major fiscal constrains for the federal government, Robust tax system is a prerequisite for a Nation desirous of genuine development.
“As part of the effort to make this possible, the federal introduced the Finance Act 2019. We must consolidate efforts to development framework that simplifies tax compliance and mobilizes revenue from the non-oil sector in an effective and efficient manner. Our tax system must be dynamic and correspond to our ever evolving commercial landscape, especially the digital economy,” he stated.
Earlier, during his welcome remarks, the 15th President Chartered Institute of Taxation of Nigeria(CITN), Mr Adesina Adebayo said it has became imperative to hold the event as means of promoting the institute’s public enlightenment and engagements.
According to him, “The evolving nature of taxation demands request interaction such as this in order to distill and analyse topical issues.”
On his part, the chairman, Planning Committee of the Anniversary and Past President of CITN, Mr Foluso Fasoto disclosed that taxation will take its root continously, although debt servicing is increasing, small businesses can only grow if the platform is available to support infrastructural developpment for Small and Medium Scale Enterprise.
Meanwhile, stakeholders in the Nigeria tax space took turns to highlight major ways Nigeria can widen it tax base to achieve a vibrant tax system that supports micro economic evolution and improved revenue generation.
Former Accountant General of the Federal and former Chairman of the Federal Inland Revenue Service (FIRS), Dr James Naiyeju, in his lecture titled, ‘Evolution of Taxation as a Profession in Nigeria: The Birth of the Chartered Institute of Taxation of Nigeria(CITN), he urged the institute not to relent in supporting federal government in the implementation of the 2021 Finance Act.
Also, Fiscal Policy Partner and Africa Tax Leader at PwC, Mr Taiwo Oyedele, who delivered a lecture on “Actualizing Nigeria’s Development Plans 2021-2025: The Critical Role of Taxation and Fiscal Policies”, noted that adequate taxation is crucial to achieving the economic development for the Nation.
President Institute of Chartered Accountant of Nigeria (ICAN), Mrs Comfort Eyitayo, said tax infrastructure requires technology even as business growth requires the accuracy, the volume of trade in the formal and informal sector will improve the infrastructural provision if accountability is observed.
A panel session consisting of Prof Olateju Somorin, Prof Aminu Mikailu and Prince Quadri cross-fertilized on major issues facing the industry and solutions.
The Chairman, Federal Inland Revenue Service(FIRS), Mr Muhammad Nami, 2nd Vice President Association of National Accountants of Nigeria, Haija Zuwaira Kishimi lauded CITN sanitizing the tax industry.
CIBN was established on February 4, 1982 as Association of Tax Administrators and Practitioners, thereafter metamorphosed to Nigeria Institute of Taxation and became chartered by Decree No. 76 of 1992 (now Act. No. 76,CAP C10, LFN 2004) as the foremost institute recognised by law to regulate the taxation profession in Nigeria.
