Tax reforms will reduce taxes not introduce new ones – FIRS

Zacch Adedeji, chairman of the Federal Inland Revenue Service (FIRS), has assured Nigerians that the ongoing tax reform will reduce taxes not introduce new ones or raise existing tax rates.

Adedeji gave the assurance during an interactive session with members of the senate committee on finance in Abuja on Tuesday.

Addressing concerns over the impact of the reforms, he clarified that the primary goal is to reduce the number of taxes paid by Nigerians and increase the efficiency of tax administration in Nigeria.

“The tax reform will not introduce any taxes or increase percentage of existing ones but reduce number of taxes being paid by Nigerians,” Adedeji said.

“The tax reform basically seeks to increase simplicity and efficiency of tax administration in Nigeria.”

He also noted that no agencies would be merged, and no jobs would be lost in the course of implementing the reforms, adding that the existing tax policies are not meant to tax poverty but to focus on prosperity.

“We are taxing fruits, not seeds—returns, not investments,” he said.

Providing an update on four executive bills currently before the national assembly, Adedeji said when passed into law, the bills will harmonise multiple tax laws, enhance efficiency and modernisation, simplify tax regulations, and foster synergy among revenue-generating agencies.

The Cable