Kaduna Inland Revenue Realizes N70bn Tax, Targets N112bn For 2025

The Executive Chairman of the Kaduna State Internal Revenue Service (KADIRS), Jerry Adams has disclosed that the Agency was able to realise 70 billion naira tax in 2024 and targets 112 billion naira for 2025.

Adams made the disclosure in Kaduna at a two-day annual performance review, work plan and strategic retreat 2025.

He said it was commendable that KADIRS collection improved from 62 billion naira in 2023 to an impressive 70 billion naira in 2024.

Adams further explained that the KADIRS alone was tasked to generate 56 billion naira from the years’ target.

“On the Nigerian tax reform bills 2024 and its implications, Adams said the Agency must examine the tax reforms vis a viz the Nigerian tax bill 2024 currently being debated at the National Assembly and its implications on state revenue generation.”

According to him, the new tax reform bills introduced significant reforms aimed at enhancing tax administration, broadening the tax base, and fostering a more business-friendly environment.

While the reforms align with national economic objectives, the KADIRS boss said they also pose certain challenges for subnational revenue generation.

He mentioned some of the major implications of the reform bills to include the modification of tax rates and the reallocation of tax revenue streams between federal and state governments.

“This may lead to adjustments in our revenue projection and require us to explore alternative avenues to sustain and expand our revenue base.”

“The Executive Management Committee of the service is carefully analysing the tax bill and its adverse effects on the state while formulating strategic responses to mitigate any negative impact.”

“The bill will take away over 80 per cent of PAYE and eliminate consumption tax, among others. Hence, we need to look elsewhere while thinking outside the box,” he stressed.

Adams therefore said some of the key areas of focus of the KADIRS in 2025 would be taxation of the digital economy, which has vast potential and property tax.

He disclosed that for high-net-worth individuals, the Agency have signed an MOU with the Nigerian Financial Intelligence Unit (NFIU)for data collection and collaboration to ensure that those set of people are properly captured and dragged into the tax net.

He mentioned that the service would leverage technology in its ongoing digitisation efforts to block leakages and enhance transparency using the PAYKADUNA portal, its one-stop shop for all state revenue payments.

He equally said they would enhance and prioritise interagency collaboration to ensure they meet N112 billion target for 2025.

Speaking on staff welfare, Adams said for the first time in many years, the Executive Management Committee approved the payment of a 13th month salary to all staff, which was disbursed in December 2024.

“This, along with increased imprest payments, the provision of working tools and other welfare packages will continue going forward. However, as we enjoy these benefits, much is expected from us in terms of dedication, commitment to duty as any act of indiscipline will not be tolerated,” he warned.

The KADIRS boss explained that the retreat was not just a forum for discussions, but a platform for decision-making and strategic alignment.

He urged taxpayers to comply voluntarily, for the development of the state and its residents in general.

The Special Adviser to Governor Uba Sani on Economic Matters, Ahmed Haruna described the KADIRS as the engine room of the state.

He urged the KADIRS to to be more diligent, hardworking and ensure more synergy with other government agencies to achieve its targets, while putting into consideration the new tax bill by working better towards boosting the state’s internally generated revenue.

Also, the Accountant General of the state, Bashir Zuntu advised the KADIRS to prioritise strategic revenue planning and management.

Zuntu, represented by the Director Funds at his Office, Yahaya Saidu, said the KADIRS must diversify revenue streams, improve tax collection efficiency, and enhancing transparency and accountability.

He recommended an establishment of a high-level task force to analyse the implications of the bill and develop strategies to mitigate any adverse effects on revenue generation.

 

Olusola Akintonde