Sunday, October 19, 2025
25.2 C
Lagos

Business

Troyka Holdings Chair, Biodun Shobanjo, Inducted into Loeries Hall of Fame

Nigeria’s foremost advertising leader and Chairman of Troyka Holdings,...

Zenith Bank, NEM, Seplat, AIICO, Dangote Cement, First HoldCo Recognised as Nigeria’s High-Performing Companies

L-R:    Michael Ani, Manager, Investor Relations, Dangote Cement; Oluseyi...

Finance Min, Wale Edun, to Keynote FiBOP Annual Confab Oct 18

The Honourable Minister of Finance and Coordinating Minister of...

Niteon Unveils First African Manufacturers Bank to Unlock $200bn Digital Export Market

Niteon, one of Nigeria's largest digital export marketplaces, has...

FG Boosts MSME Financing with NCGC Initiative

In a bid to boost economic growth and development,...

ICT

Konga Partners Verve to Delight Customers with Free Shopping Vouchers

  Konga, Nigeria’s leading composite e-commerce platform has partnered with...

NCC Spotlights Renewable Energy on World Consumer Rights Day

  The Nigerian Communications Commission (NCC) has concluded arrangements to...

Governors, NCC Set for Broadband Awareness Forum Oct 20

All Nigeria State Governors are set to discuss how...

VerveLife 5.0 Gears Up for Nairobi, Lagos Events

Following a successful series of Verve Life 5.0 satellite...

Telecom Infrastructure Critical to Successful 2023 Elections – Danbatta

The Executive Vice Chairman of the Nigerian Communications Commission,...

Capital Market

SEC DG: Commission Considering Gradual Implementation of ISSB Standards

The Director General of the Securities and Exchange Commission...

ISSB-Aligned Disclosures Will Lower Capital Costs, Attract Global Investors — SEC

The Securities and Exchange Commission (SEC) has unveiled plans...

SEC DG to Cadets:  Invest Early, Long Term to Create Wealth

Graduating Cadets of the Nigerian Defence Academy (NDA) have...

SEC DG: Accountability, Transparency will Boost Investor Confidence in Capital Market

The Director General of the Securities and Exchange Commission...

SEC DG: Digital Assets Represent $10tn Opportunity by 2030

The Director General of the Securities and Exchange Commission...

Insurance

13-year-old Rhema-Love Abraham Emerges Winner of 2025 Heirs Insurance Essay Championship

L:R- Funmi Olotu, National Coordinator, National Social Safety-Nets Coordinating...

Leadway Assurance: Insurance Company of the Year at 2025 BAFI Awards

L-R: Managing Director, Leadway Assurance, Gboyega Lesi; Publisher, BuisnessDay...

Heirs Insurance Group Announces Inaugural Travel Festival: A Call for Inclusive Travel Ecosystem for Africans

Heirs Insurance Group (HIG), Nigeria’s fastest-growing insurance group, has...

Sovereign Trust Insurance Celebrates 2025 Customer Service Week

Sovereign Trust Insurance Plc has been actively involved in...

Leadway: 55 Years of Innovation, Expanding Financial Access, Inclusion Across West Africa

Leadway, one of Nigeria’s foremost non-banking financial services and...

Business

Troyka Holdings Chair, Biodun Shobanjo, Inducted into Loeries Hall of Fame

Nigeria’s foremost advertising leader and Chairman of Troyka Holdings,...

Zenith Bank, NEM, Seplat, AIICO, Dangote Cement, First HoldCo Recognised as Nigeria’s High-Performing Companies

L-R:    Michael Ani, Manager, Investor Relations, Dangote Cement; Oluseyi...

Finance Min, Wale Edun, to Keynote FiBOP Annual Confab Oct 18

The Honourable Minister of Finance and Coordinating Minister of...

Niteon Unveils First African Manufacturers Bank to Unlock $200bn Digital Export Market

Niteon, one of Nigeria's largest digital export marketplaces, has...

FG Boosts MSME Financing with NCGC Initiative

In a bid to boost economic growth and development,...

ICT

Konga Partners Verve to Delight Customers with Free Shopping Vouchers

  Konga, Nigeria’s leading composite e-commerce platform has partnered with...

NCC Spotlights Renewable Energy on World Consumer Rights Day

  The Nigerian Communications Commission (NCC) has concluded arrangements to...

Governors, NCC Set for Broadband Awareness Forum Oct 20

All Nigeria State Governors are set to discuss how...

VerveLife 5.0 Gears Up for Nairobi, Lagos Events

Following a successful series of Verve Life 5.0 satellite...

Telecom Infrastructure Critical to Successful 2023 Elections – Danbatta

The Executive Vice Chairman of the Nigerian Communications Commission,...

Capital Market

SEC DG: Commission Considering Gradual Implementation of ISSB Standards

The Director General of the Securities and Exchange Commission...

ISSB-Aligned Disclosures Will Lower Capital Costs, Attract Global Investors — SEC

The Securities and Exchange Commission (SEC) has unveiled plans...

SEC DG to Cadets:  Invest Early, Long Term to Create Wealth

Graduating Cadets of the Nigerian Defence Academy (NDA) have...

SEC DG: Accountability, Transparency will Boost Investor Confidence in Capital Market

The Director General of the Securities and Exchange Commission...

SEC DG: Digital Assets Represent $10tn Opportunity by 2030

The Director General of the Securities and Exchange Commission...

Insurance

13-year-old Rhema-Love Abraham Emerges Winner of 2025 Heirs Insurance Essay Championship

L:R- Funmi Olotu, National Coordinator, National Social Safety-Nets Coordinating...

Leadway Assurance: Insurance Company of the Year at 2025 BAFI Awards

L-R: Managing Director, Leadway Assurance, Gboyega Lesi; Publisher, BuisnessDay...

Heirs Insurance Group Announces Inaugural Travel Festival: A Call for Inclusive Travel Ecosystem for Africans

Heirs Insurance Group (HIG), Nigeria’s fastest-growing insurance group, has...

Sovereign Trust Insurance Celebrates 2025 Customer Service Week

Sovereign Trust Insurance Plc has been actively involved in...

Leadway: 55 Years of Innovation, Expanding Financial Access, Inclusion Across West Africa

Leadway, one of Nigeria’s foremost non-banking financial services and...

FOR THE RECORD: CITN Commends FIRS over Tax Collection

Revenue derivable in Nigeria can broadly be categorized under Oil and Non-Oil revenue. The Nigerian economy had for many years been dependent upon revenues derived from Oil and Gas hence the infamous economic meltdown led to the decline in the revenue generated from petroleum resource from the early 2000 till date.

Following the recession that ensued, alternative sources of revenue generation, particularly from the non-oil sector, became the focus of the Federal Government. 

The Federal Inland Revenue Service (“FIRS”) by virtue of Section 8 (1) of the Federal Inland Revenue Service (Establishment) Act, 2007 (“FIRSEA”) provides that the FIRS shall be responsible for assessment, collection, rendering of account and enforcement of payment of taxes as may be due to the Federal  Government or any of its agencies;  and they shall also  collect, recover and pay to the designated account, any tax charged under any provision of the FIRSEA.

Consequent upon this, the FIRS has the sole responsibility of administering Federal taxes like the Value Added Tax, Personal Income Tax as restricted under the Act, Companies Income Tax, Stamp Duties, Capital Gains Tax, Petroleum Profits Tax, and National Information Technology Development Agency Levy.

While the FIRS only has control over non-oil revenue from taxes collected, Oil revenue collection figures are subject to more external forces such as the price of oil in the international market, which itself is subject to a myriad of factors beyond the control of local fiscal policy and jurisdiction.

The Nigerian National Petroleum Corporation (NNPC) has the sole responsibility for upstream and downstream developments, and is also charged with regulating and supervising the oil industry on behalf of the Nigerian Government.

Between 2012 – 2014 oil revenue accounted for 57.28% while non-oil revenue accounted for 42.72%, whilst for the period between 2016 – 2018, oil revenue accounted for 40.65% while non-oil revenue accounted for 59.33% of collected revenues.

It is pertinent to note that the fall in price of crude oil and reduction in crude oil production were traceable to vandalisation of pipelines and the effect of the recession on the economy in the second quarter of 2016, which slowed down general economic activities in the country.  However, tax revenue grew as the economy recovered in the second quarter of 2017.

The Chartered Institute of Taxation of Nigeria notes that FIRS has severally adopted unique innovative strategies and initiatives in the collection of VAT during the period (2015 – 2017) that led to approximately 40% increase over 2012 – 2014 collection figures.

The various initiatives included ICT innovations, taxpayer education, taxpayer enlightenment and evaluation, etc. CITN (” the Institute”), as the only tax professional regulatory body in Nigeria, has keenly observed that since August 2015, the FIRS target for two major non-oil taxes were increased by 52% for VAT and 45% for CIT.

This period has not only witnessed increase in absolute collection figures, but has more than ever increased Tax Payers base and has brought Tax compliance consciousness to the Nigerian populace amongst others. There has never been a time in the modern history of Nigeria that Taxation has become a serious issue for conversation. 

As part of our tax review mechanism, our Institute exudes confidence that the current strategies and initiatives will improve revenue collections and meet the expectations of the Government. It is hoped that with the adoption of more tax compliance strategies, the tax base will experience further widening to include more people, sectors and businesses into the tax net for enhanced revenue generation.

The FIRS has done credibly well and needs to be commended for these great giant steps by government and all well-meaning Nigerians. The job of Tax collectors is a tough one as tax payers do loathe them. 

We are convinced that we have made some progress but yet to reach our objectives as regards taxation in Nigeria.

We urge the FIRS to join hands with CITN in its avowed quest to make taxation the foremost driver of our revenue generation in Nigeria.

Issued on Friday August 30, 2019 by

Adefisayo Awogbade, FCTI
Registrar/Chief Executive
Chartered Institute of Taxation of Nigeria

Hot this week

13-year-old Rhema-Love Abraham Emerges Winner of 2025 Heirs Insurance Essay Championship

L:R- Funmi Olotu, National Coordinator, National Social Safety-Nets Coordinating...

Stanbic IBTC Bank, LOXEA BYD forge alliance for Electric Vehicle Financing

In a strategic move to advance Nigeria’s shift toward...

CBN, Bank of Angola Sign MoU on Technical Co-operation at IMF/World Bank Meeting

In an effort to enhance bilateral cooperation and technical...

NBS: Nigeria’s Inflation Falls to 18.02% in September, Lowest Level in Three Years

Nigeria’s headline inflation rate fell for the sixth consecutive...

NUPEMCO Marks 2025 CSW with Nationwide Pension Awareness Activities, Huawei-Supported National Essay competition

The Nigerian University Pension Management Company (NUPEMCO) celebrated the...

Topics

Global Smartphone Sales Tops 344m Units in 2nd Qtr

Global sales of smartphones to end users totaled 344...

Insurance Journalist Escapes Death from Auto Accident

The Insurance Editor of NewsPage Media, Sola Alabadan, escaped...

NNPC Seeks Increase in Oil Production Royalties

The Nigerian National Petroleum Corporation (NNPC) has recommended some...

NCDMB, SLB Partner Varsities to Unveil Software Solutions for Oil, Gas Industry

L-R: Director, Planning, Research and Statistics, Nigerian Content Development...

Sovereign Trust Insurance Targets Sustainable Growth in 2022

L-R: Olaotan Soyinka, MD/CEO, Sovereign Trust Insurance Plc; Kayode...

MatrixStream Launches MatrixCloud OTT, Empowering Roll-out in 60 Days

MatrixStream introduces the MatrixCloud OTT solution for IPTV operators...

Sovereign Trust Insurance Grows PBT by 51.5% in 2019

Mr. Olaotan Soyinka Managing Director/CEO Sovereign Trust Insurance Plc The National Insurance...
Exit mobile version