President Tinubu Calls for Single-Digit Tax System
…FIRS Responds with Assurance and Restructuring
By Patience Ikpeme
President Bola Ahmed Tinubu has called for a single-digit tax system, limiting individuals and organizations to no more than nine taxes nationwide.The aim is to simplify tax processes.
Dr. Zacch Adedeji, Chairman of the Federal Inland Revenue, confirmed this directive during a visit by Guinness Nigeria’s management team.
According to a statement by Dare Adekanmbi, Special Adviser on Media to the FIRS chairman, the plan to grow the economy has warranted the president’s directive that a conducive environment be created for businesses to flourish and grow the economy.
One of such conducive environment is the reduction in the number of taxes individuals and businesses are meant to pay.
“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.
Adedeji assured that the FIRS has refrained from introducing new taxes or raising existing ones. According to him, “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.
“By God’s grace, we will not introduce additional taxes nor increase any form of taxes. We are only determined to increase the pie.
Instead, the FIRS will be focusing on operational restructuring to enhance tax assessment and collection.
“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 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.
Adedeji added that President Tinubu, through the consumer credit scheme recently introduced, wants to increase the purchasing power of Nigerians to boost the productive capacity of companies and stimulate growth.
“In a couple of days, the consumer credit scheme will be launched and what that will do is to really set the right fundamentals most especially for the kind of products you sell.
“In an economy of our size, it will be extremely difficult if we don’t have a consumer credit scheme. People need to eat before they drink. But when they have credit to buy things, this gives them more money that they can use to come to drink and relax after work.
“More so, the president has also directed the commencement of a single window platform for your logistics at the ports. So, instead of having to pay in many places, you can now do that through the platform, most especially for companies like yours.
“You know your products before they come into the country, so you pay before they arrive as the issue of port congestion that delays the time you get your raw materials has been taken care of now.
“Another bold decision the president has also taken is the birth of the Renewed Hope Infrastructure Fund. Some of the raw materials you source locally are produced in the Northern part of the country. The infrastructure deficit that we have increases the cost of moving these materials from one place to another” Adedeji said.
The CEO of Guinness Nigeria, Adebayo Alli, pledged Guinness’ continued investment in Nigeria.
