The Acting Chairman of the Federal Inland Revenue Service (FIRS), Zacch Adedeji, has eased concerns from corporate organizations about potential tax increases.
He clarified that the FIRS’s goal to raise Nigeria’s tax-to-GDP ratio to 18% from 10.86% doesn’t necessarily entail higher taxes or the introduction of new ones. Adedeji assured that the administration, led by President Bola Tinubu, aims to foster a conducive environment for businesses.
Addressing representatives of top-paying companies in Lagos, Adedeji emphasized the agency’s commitment to using data to improve compliance rather than introducing additional taxes.
He expressed gratitude to companies for their contributions and affirmed that the 18% tax-to-GDP target won’t translate into increased taxes. Adedeji highlighted the government’s focus on taxing prosperity, not poverty.
During the engagement, he acknowledged the challenges facing businesses and promised to address concerns raised by representatives of companies, including issues like the multiplicity of taxes and duplication of tax oversight.
Notable companies present at the event included Nestlé Nigeria Plc, ExxonMobil, Shell, Nigerian Breweries Plc, Dangote Group, and others.
Adedeji applauded the high sense of responsibility exhibited by these companies and recognized their pivotal role in generating substantial tax revenue for the government.
He invited their input to the strategic action plan, aligning with the vision of making taxation a catalyst for national development through voluntary compliance.
The FIRS Chairman affirmed his commitment to addressing challenges in tax revenue collection, emphasizing that the ongoing reforms are necessary for Nigeria to reach its full potential.
