Ensure prompt remittance of VAT, WHT, FIRS tells State AGs

The Executive Chairman of the Federal Inland Revenue Service (FIRS), Mr. Zacch Adedeji, has called on State Accountants-General to promptly remit Value Added Tax (VAT) and Withholding Tax (WHT) as part of efforts to boost Internally Generated Revenue (IGR).

Speaking at a two-day meeting between FIRS officials and State Accountants-General in Abuja, Adedeji emphasized the need for revenue collectors to intensify their efforts, given the country’s current economic challenges.

He stated, “It is no longer news that our nation is facing economic challenges, but as a government, it is imperative that we look inward and increase our internally generated revenue. However, this does not necessarily mean increasing tax rates. Instead, we must focus on blocking leakages and ensuring full compliance with the existing tax laws, a task that I believe we can achieve together.”

Addressing the critical role of the Accountants-General, he added, “You are responsible for ensuring that VAT is charged and remitted, that Stamp Duties are paid on contracts, and that Withholding Tax (WHT) elements in contracts are properly withheld and remitted.”

Mr. Adedeji underscored the importance of collaboration in achieving their shared mandate of raising revenue for national prosperity. He stressed that FIRS could not meet its revenue targets without the effective partnership and support of the state officials.

“We are all agents of the same government, united by one vision: to ramp up revenue for the growth and development of Nigeria and, by extension, for the benefit of its citizens,” he remarked.

Highlighting the importance of collaboration in improving tax compliance, Adedeji pointed out that countries and institutions that have achieved significant strides in tax collection did so by fostering strong partnerships and support systems that encourage compliance across all tax categories.

He also noted that FIRS is on track to achieve an 18% Tax-to-GDP ratio by 2026, driven by technological integration, process improvements, and capacity building for staff.

Vanguard