Presidential tax reform committee adopts FCT for tax harmonisation model

The Presidential Fiscal Policy and Tax Reform Committee says it will use the Federal Capital Territory (FCT) as a model in the implementation of harmonisation of taxes in the country. The committee chairman, Taiwo Oyedele, disclosed this during a meeting on harmonisation of revenue administration in Abuja on Friday. The FCT Internal Revenue Service (FCT-IRS) organised the meeting for the area council chairs of the FCT. Mr Oyedele explained that the harmonisation and simplification of taxes would not reduce revenue as some people erroneously perceived but would enhance revenue generation. “Harmonisation and simplification of taxes, as well as achieving equity and fairness in revenue administration, are critical areas of reform for our committee,” he said. 

He expressed support for the steps the FCT-IRS took towards harmonising taxes in the territory. Mr Oyedele advised the FCT and other states of the federation to discourage unorthodox means of collecting taxes, levies and fees, especially on the highway, roads and streets. He described unorthodox means of revenue collection as embarrassing and unacceptable. The chairman advocated the use of technology in revenue collection, adding that it can eradicate tax evasion and leakages and improve transparency. He urged stakeholders to work together to ensure the success of the tax harmonisation drive. In his remarks, the acting executive chairman of the FCT-IRS, Michael Ango, commended the FCT area council chairs for their commitment to the harmonisation project. Mr Ango said their determination, willingness and support were critical to achieving full tax harmonisation in FCT. He said FCT Minister Nyesom Wike was committed to boosting internally generated revenue in the FCT to provide residents with infrastructure and social services.

The acting chairman pledged the FCT-IRS commitment to put in place a robust technology platform to ensure efficiency and transparency in revenue collection and administration. On his part, Ubokutom Nyah, mandate secretary, Economic Planning, Revenue Generation, and Public-Private Partnership, FCT Administration,  lauded the FCT-IRS chairman for reviving the initiative. NAN