Nigerian governors under the auspices of the Nigeria Governors’ Forum (NGF) are currently mulling the plan to wedge tax leakages.
In a meeting tagged, “the 8th IGR Peer Learning Event and Launch of the Nigeria Governors’ Forum Public Finance Database,” the governors also initiated a plan to improve their internally generated revenue.
“We have seen total IGR of states grow from N1.31 trillion in 2019, to N1.67 trillion in 2021, and the share of IGR, as a percentage of total recurrent revenue, grew from 31% in 2019 to 35% in 2021. While this is good progress, we must not lose sight of the need to sustain and advance the momentum of reforms, considering the decline in FAAC receipts,” the NGF’s Chairman, Dr. Kayode Fayemi was quoted as saying.
Recalling how the governors decided last three years to be frantic with the restructuring of well-organized and valuable tax management, Fayemi said general restructuring was centred on halting compound taxation expertise and contemporary revenue services, including acceptance of a taxpayer-centric background that will simplify taxpayers’ obedience, and support the accessible common agreement.
“Beyond the laws and regulations we have passed, we must occasionally, by policy, respond to the fast-changing tax environment if we must stay ahead of evasion and avoidance tactics, recognise the need to support our internal revenue services and continue to empower them with the necessary political support and financial resources required for them to execute their mandate effectively,” the Ekiti governor added.
Revealing means of improving their income generation for Nigerian governors, Fayemi explained that “broadly, we must seek out ways to expand the tax net and improve our taxpayers’ database. This will require ending the proliferation of taxpayers’ identification numbers and databases. It is pertinent that we harmonise leveraging a unique identification number, as is global best practice.”
