Tinubu orders single-digit tax system in Nigeria

President Bola Tinubu has given a directive for a single-digit tax system in Nigeria.

The Chairman of the Federal Inland Revenue Service (FIRS), Zacch Adedeji, disclosed this when the Chief Executive Officer of Guinness Nigeria, Adebayo Alli, led the management team of the company on a visit to the Revenue House in Abuja on Wednesday, March 27, 2024.

Adedeji, who said Tinubu has a strategic plan that is being followed to lead the country out of the current economic challenges, noted that the plan warranted the president’s directive that a conducive environment be created for businesses to flourish and grow the economy.

The FIRS boss said: “The president gave a directive that he wants a single-digit tax in the country, meaning that the maximum number of taxes we will have after the work of the Presidential Committee on Fiscal Policy and Tax Reforms will be nine taxes.

“For us at FIRS, we have responded to that directive. We want to grow the pie such that even if we are taking the same percentage of the bigger pie, the result will be huge.

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“By God’s grace, we will not introduce additional taxes nor increase any form of taxes. We are only determined to increase the pie.

“We have restructured our operations at FIRS in such a way that we are now effectively carrying out our duty of assessing, collecting, and accounting for taxes.

“We used to have functional types of taxes, but we have identified that the only customers we have are the taxpayers. We have improved the way we relate with our customers by rearranging our operations based on our customers, using their turnover as the basis to categorise them into large, medium and small.

“We did this to actually develop expertise in what we do. Secondly, to provide you with a one-stop shop for your activities. If you are in a large tax group, you only need to go to one office to pay all forms of taxes, including audit and other activities. You don’t need to move from one office to another again.

“We are here to serve you. You taxpayers are not armed robbers or criminals that we will be chasing about. FIRS is also not a law enforcement organisation. We are partners in progress.

“You are one of the trees in our vineyard. The only thing we can do is to ensure you are well watered and pruned so you can bear good fruits for us to have plenty of harvest.”

He added that President Tinubu, through the consumer credit scheme recently introduced, aimed at increasing the purchasing power of Nigerians to boost the productive capacity of companies and stimulate growth.

Speaking, Alli pledged that Guinness would continue to do business in the country, notwithstanding the macro-economic challenges being faced.

He assured the FIRS chairman that Guinness would continue to invest in the country, just as he sought assurances from the tax authority in terms of the role it would play “in getting the economy back on the right path from the recovery point of view”.

The Star