FIRS, police set to check multiple taxation
By Patience Ikpeme
The Federal Inland Revenue Service (FIRS) has pledged to put a stop to multiple taxation in Nigeria’s informal economy by partnering with the police to prevent illegal taxation at markets across the country.
FIRS Executive Chairman Muhammad Nami pledged to work with security agencies, especially the Nigeria Police, to combat illegal tax collections made by miscreants and touts in markets.
Nami also stated that the FIRS will work with the Market Traders Association of Nigeria (MATAN) to collect Value Added Tax (VAT) from markets across the country and remit it to the FIRS.
The initiative will leverage technology to enumerate traders and boost tax collection.
At a Stakeholders Engagement Programme on the VAT DIRECT Initiative (VDI) in Lagos State, Nami confirmed that the initiative was critical to revenue generation and eliminating multiple taxation, notably from Nigeria’s informal sector.
The FIRS/MATAN partnership provides an effective avenue to address the issue of multiple taxation and extortion by corrupt government officials, illegal agents, and touts in the market.
Nami stated that the project’s success would boost Nigeria’s revenue, enabling government funding for infrastructure and social amenities.
The lack of awareness of obligations and liabilities concerning the informal sector’s administration of VAT he said has led to low compliance rates, making it necessary to use the MATAN platform to bring about positive change in Nigeria’s informal economy.
