The Federal Capital Territory Internal Revenue Service FCT-IRS, in Nigeria’s capital city, Abuja, has revealed it plans to generate over two hundred and fifty billion Naira, (N250b) for the Administration in the year 2024.
The service also hinted that it has generated over two hundred and three billion naira, (N203.1b) in 2023, an increase of over the N124 billion it realized in 2022.
The Acting Executive Chairman of the Service, Mr Haruna Abdullahi who disclosed this at a news conference in Abuja said the Service projects to generate N250 billion in 2024.
He said; “The Tax Revenue Collection of the FCT-IRS grew from barely N46 billion in 2017 to over N124 billion in 2022 indicating over 270% growth.
“At this point, I would like to inform the general public that as at 19th December 2023, the FCT-IRS for the first time since its inception in 2015 has exceeded the N200 billion mark by generating the sum of N203,147,090,410.5 as annual revenue for the year 2023.
“This is a huge milestone for the Service and it represents about 63.34% increase in collection from the preceding year.
“For the year 2024, FCT-IRS has a target of N250 billion (Two-hundred and Fifty Billion Naira), we are determined and optimistic that we will realize and surpass that, with the committed and dedicated staff of the Service, support from the FCT Administration, the National Assembly and other key stakeholders especially our esteemed taxpayers, it is achievable and the task ahead is surmountable.”
Tax Payer Base
He said the taxpayer base of the FCT has grown from about 543,969 for individuals and 284,746 for non-individuals in 2015 to 1,108,162 for individuals and 389,981 for non-individuals in 2023.
“In collaboration with other sister agencies in the FCT, the FCT-IRS has commenced enforcement of Section 85 of the Personal Income Tax Act, 2011 (as amended) and Section 31 of the FCT IRS Act, 2015 for MDAs, FCT SDAs, Commercial Banks, and other Corporate bodies to demand and verify TCC as precondition for rendering services in FCT,” he stated.
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According to him, the Service has invested in modern working tools such as hardware and software, adding that the processes of registration, payment, receipting, assessment, Tax Clearance Certificate (TCC) issuance, filing of returns, TCC verification, and generation of withholding tax credit note have all been automated.
“In order to encourage voluntary compliance and to allow taxpayers perform their tax obligations at the comfort of their homes or offices, the FCT-IRS Self Service portal enables Taxpayers to perform functions such as; request for Taxpayer Identification Number (TIN), file annual returns, make payment and request for TCC.
“As part of our efforts to ensure compliance with filing of returns, the Service will in accordance with the tax laws apply penalty for non-filing of annual returns by 31st January of every year for employers and 31st March of every year for individuals. A comprehensive reassessment of returns will be intensified, which will be followed by constant monitoring and compliance exercises.
Furthermore, he said the Service will employ the use of technology to enhance its operations mainly in the area of compliance, enforcement and seek to consolidate the culture of transparency and accountability in order to build trust and cooperation between the service and taxpayers.
In addition, the FCT-IRS Boss added that the focus will be in the deployment of artificial intelligence, cloud computing, collaboration tools, business process automation and data analytical tools to facilitate compliance and performance of routine tasks aimed at encouraging voluntary compliance and ease of doing business.
“As from January 2024, the Service shall embark on intensive enforcement exercise by ensuring that all relevant provisions of the tax laws are strictly complied with accordingly.
“For avoidance of doubt, section 32 of FCT-IRS Act, 2015 empowers the Chairman of the Service to authorize any Officer of the Service to have free access to properties and records of taxpayers for the purpose of compliance with the tax laws. The Service will not only hesitate to prosecute tax offenders through the instrumentality of the law but will ensure that all tax due to FCT are recovered.
According to him, to comply with the ease of doing business initiative, the Service will open more tax offices across the six Area Councils in FCT and at strategic locations or centers within the metropolis for convenience of the taxpayers and further streamline services, making the tax offices accessible to a broader population and contributing to overall organisational growth.
“Additionally, a state of the art headquarters will be constructed, not only to provide for coordination of operations but also reflect our commitment to excellence.
“To attract and retain young talents, the Service will embark on providing targeted training programmes towards ensuring employees stay updated with industry trends and by also providing staff with modern working tools to foster efficiency and innovation”, he added.
