The section of the FIRS amended finance Act 2021; a proprietary or third party technology for tax administration, which includes assessment and information gathering from taxpayers, is apt towards addressing tax evasion, and will automatically expand Nigeria tax revenue base.

The above powers given to the service is quite enormous, which will help the Service to effectively deliver her services for national growth.

It is timely, because government has lost billions of naira to tax manipulations by companies; in most cases, companies do not want to pay accurate taxes, proportional to the company’s actual yearly financial outcome as expected by FIRS; this new tax regime will ultimately check the above malpractices, improve tax revenue to the government.

The initiative will reduce Nigeria borrowing in the next financial year, and will improve government productivity across board.

Federal Inland Revenue Service having access to companies tax database, will precisely ensure accurate taxing of companies, which also captured digital business environment, through introduction of a deemed tax for foreign providers of digital goods and services, due to the birth of digital economy systems; strengthening institutional mechanisms to harmonize the corporation of relevant multi-stakeholders partnerships like NITDA, NCC and others, will assist to maximally achieve the Service desired results or tax revenue projection.

I commend the bold step taken by the Service to revamp the nation’s economy through formidable, strengthened and well-structured tax administrative system; ably driven by a seasoned tax expert like the Executive Chairman, Mr. Muhammad Nami, a dedicated tax expert per excellence. Most definitely, the new tax regime will promote transparency, accountability and probity at all levels, for all-inclusive economic development of the Nigeria State.

Amb. Splendour Agbonkpolor
Executive Direcor.
Initiative for leadership and Economic Watch in Nigeria