Non-Oil Collections Now Constitutes 90% Of Tax Revenue -FIRS

The Federal Inland Revenue Service has said that the reforms so far implemented under the leadership of the Executive Chairman Muhammad Nami has boosted Non-Oil revenue tax collection.

It said that through the increase in non-oil tax receipts, the service had been able to boost the revenue generated into the federation account.

The Executive Chairman, FIRS, Mr. Muhammad Nami, said these on Tuesday in Abuja during a courtesy call on the Minister of Finance and National Planning, Mrs. Zainab Ahmed, by the members of the FIRS Board.

Nami, according to a statement on Thursday by the Director, Communications and Liaison Department, FIRS, Abdullahi Ismaila Ahmad said that despite the national and global economic upheaval caused by the Covid-19 pandemic, the Service has continued to record significant increase in collectable tax revenue from the non-oil sector of the economy.

Nami attributed the increase in the non-oil sector receipt to reform measures introduced by the FIRS Board and Management as well as the renewed vigour in the Service workforce.

According to him, non-oil tax receipts have consistently contributed 75 to 90 per cent of total tax revenue in recent months.

For instance, Nami disclosed that out of the N490bn collected by the Service in July, only N52bn was from the oil sector with the rest coming in through non-oil receipts.

Nami commended the minister for her support to the FIRS and its Board since their inauguration earlier in the year and solicited closer working relationship between the Service and the ministry.
 

The minister in her remarks commended the Management and Board of the FIRS for working to limit the disruptive impact of COVID-19 on government revenue through their proactive reforms.

She noted that this had made it possible for the three tiers of government to receive their monthly statutory allocations from the Federation Accounts.
 

The minister, according to the statement observed that Value Added Tax and Stamp Duties receipts have boosted government revenue despite the pandemic.

Ahmed pledged to continue to support the Management and Board of the FIRS and tasked the Service to work harder towards diversifying government revenue sources further away from dependence on oil.