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The
Federal Inland Revenue Service (FIRS) yesterday said it exceeded its
projected 2010 tax collection targets by about 13 per cent, and almost
30 percent above the figure for the previous year.

The
Executive Chairman, Ifueko Omoigui-Okauru, said the agency recorded
over N2.83 trillion in tax revenue receipts, against a target of N2.5
trillion projected for the year and a total of N2.197 trillion realised
in 2009.

Though
Mrs. Omoigui-Okauru said that last year was a very uncertain period for
the country, particularly in the wake of the global economic crisis and
the reforms in the banking sector, she said the achievement recorded
vindicated the FIRS’ management resolve to remain optimistic against
all odds.

The
agency boss revealed this at the 2011 enlarged management meeting of
the service, an annual forum for its top managers to review and analyse
the agency’s performance in the past year in line with set objectives
at the beginning of the year as well as identify the agenda and
expectations for the new year.The service was unable to persuade the
National Assembly to pass several tax bills currently pending before
them, particularly constitutional amendments on tax issues.“This year,
we must focus on the big picture and be dedicated to the task of
nation-building. We must implement processes and programmes to make the
system faster, implement self-assessment, voluntary compliance,
integration of informal sector, induce presumptive tax regime,
automation of tax filling processes, multiple taxation and reduction of
overall tax burden on taxpayers,” she said.

New Tax Policy

The Finance minister, Olusegun Aganga, said the problems of
multiplicity of taxes and other fiscal burdens by tax payers will be
removed soon as the National Tax Policy (NTP) is to be launched within
the next few weeks to boost efficiency in the country’s tax
administration as well as improve the climate for business operations.

Mr.
Aganga said the NTP will stipulate guidelines and rules to regulate the
country’s tax system as well as provide a basis for tax legislation and
administration, adding that the ministry would continue to work with
the FIRS to enable it play its role in developing and initiating tax
policy.

“The
National Tax Policy will soon be formally launched and the ministry
will ensure strict implementation of government policy objectives as
spelt out in the policy document. The FIRS must continue to be at the
forefront of the challenge and come up with strategies that will
broaden our revenue base to include the informal sector, as the country
cannot afford to rely on oil revenue forever”,Mr Aganga added.

To enhance tax administration and tax compliance, the minister said
the Federal Executive Council, at its last meeting in 2010, considered
and endorsed tax compliance requirement before approval for all
contracts.