FIRS eyes 18% GDP to tax ratio in 3 yrs

The Federal Inland Revenue Service, FIRS, has said it increased Nigeria’s tax to Gross Domestic Product, GDP, ratio from 6.0 percent to 10.86 percent in 2022, through various reforms.

She added: “The Management is committed to improve the country’s tax to GDP ratio to 16.5 percent which is the Africa’s average and subsequently 18 percent in the next three years.”

She stated: “Some laudable reforms had been embarked on by the Service which has changed the narrative of the tax administration in Nigeria thereby improving our revenue collection into the coffers of government”.

This is even as the agency noted that its innovations have already culminated in the generation of N8.5 trillion as at 14th September 2023, adding that it remains committed to generating N12 trillion in 2023.

She stated further, “One of the four (4) cardinal goals of the Management of FIRS is to be “customer centric” and our major customers and critical stakeholders in the tax ecosystem as a Tax Authority are the Taxpayers.

“Therefore, if the Taxpayers must understand their tax obligations and rights, it is imperative to keep them informed, sensitized, engaged and educated to enable them to fulfil their tax obligations without any hitches”.

Speaking on the theme:”The Finance Act    as an innovation to the Nigerian tax system”, Director, Tax Policy and Advisory Department, FIRS, Mr. Temitayo Orebajo noted that the 2023 Finance Act amended seven tax laws, four non tax laws and 30 Sections.