The Executive Chairman, Federal Inland Revenue Service, Muhammad Nami disclosed that the management of the Service had established two critical units, the Intelligence, Strategic Data Mining & Analysis Department (ISDMA) and the Tax Incentive Management Department (TIMD) as part of institutional reforms to generate more revenue and forestall revenue leakages.
“While the TaxProMax will serve as the flagship tool for mining data, it will be complemented by other tools that the Intelligence, Strategic Data Mining and Analysis Department may deploy, with the data engineers in the Department carrying out necessary distillations.
“Management also established the Tax Incentive Management Department to manage, implement and report on tax incentives as provided by relevant extant laws and regulations. The TIMD is specifically in charge of the tax affairs of companies/enterprises enjoying tax exemptions and holidays. Companies enjoying Pioneer incentives, Non-Governmental Organizations (NGOs), Cooperative Societies, companies in Export Processing Zones (EPZ), Free Trade Zones (FTZ), Oil and Gas Export Processing Zones (OGEFZ), those engaged in Downstream Gas Utilization and all others enjoying tax holidays are being managed by the TIMD to forestall revenue leakages, such that these companies/enterprises do not use their status as a cover to earn taxable income and refuse to pay tax on such income.” He stated.
Nami added that the service created 10 Value Added Tax, VAT, Regional Coordination Offices across the country to drive collection of VAT.
The FIRS Executive Chairman highlighted that these reforms put in place were already yielding result, including the collection of the sum of N4.2 Trillion between January and September, 2021, the successful facilitation of ISO 27001:2013 Certification of the FIRS’ Exchange of Information Centre, and the achievement of 114.66 percent of the VAT collection target in the first half of the year.
“It will interest you to know that the Service collected a total of N4.2Trillion between January to September, 2021. This feat was achieved as a result of the efficiency and effectiveness of the TaxProMax Solution and intelligence/data we gathered, mined and analyzed in the period under review.
“The Service successfully facilitated both the mock and external audits for the ISO 27001:2013 certification of the Exchange of Information (EOI) centre, to meet international information security management standards,” he said.
While congratulating Isiguzo for his recent reelection as the National President of NUJ, which was a reflection of his uncommon achievements at the NUJ, he urged NUJ Members to be constructive in their criticisms of the operations of the Service urging that they “should always confirm or verify sources and accuracy of information.”
Earlier, the NUJ National President, Isiguzo, said the visit of the union was part of his resolve to engage critical institutions as a key stakeholder in charting a way forward for the country’s collective good.
The NUJ president described FIRS as a vital institution in the country, which “requires all the support it needs especially at a time when the country is security-challenged, adversely affected by Covid-19 and faced with FOREX crisis as well as political intrigues from different parts of the nation.”
He said the NUJ has noted closely the FIRS’ “strident efforts to shore up the country’s revenue by deploying technology and the requisite personnel in this regard. Of interest to the Union is your digital technology solution, TaxPro-Max.
“The numbers show that it has assisted in boosting efficiency in tax administration and collection rates across the country.
“However, with your recent admission that only about 44 million out of a possible 100 million plus that pay tax makes it urgent for a robust integrated media campaign to get more Nigerians into the tax net. This the NUJ is willing to spearhead.”
Isiguzo assured the FIRS boss and his management team that NUJ will commend the agency where it has done noble.
He however noted that the union will not shy away from criticizing FIRS constructively as well as hold it accountable to the Nigerian people, in line with constitutional guarantee as contained in Chapter 22 of the 1999 Constitution as amended