The Federal Inland Revenue Service, FIRS, has blamed inefficiencies in the current stamp duty as hampering effective tax collection in the country.
The Executive Chairman of the FIRS, Muhammad Nami, said these inefficiencies have led to poor revenue generation from these taxes.
Nami made this call during the opening ceremony of the 2021 tax week of the Chartered Institute of Taxation of Nigeria, in Abuja on Thursday, October 14.
The theme of the tax week for this year is, “Efficient Tax Administration as a Panacea for Increased Revenue Generation.”
He said the theme was apt as it reflected the current efforts of the governments; at all levels to increase revenue generation and also reduce debt financing.
According to him, government’s efforts to boost revenue are currently hindered; by insecurity, high exchange rate, as well as the effects of COVID-19.
Nami added, “The Federal Government needs money to provide more critical infrastructure; maintain existing ones; and provide medical and educational facilities to the teaming youth; and by extension reduce unemployment.
“I believe that this occasion will generate new ideas, innovations, as well as strategies for enhancing revenue collection; by the Federal and also State governments through their various Revenue Authorities.
“Looking at the topics for paper presentation, discussions will centre on Stamp Duty and Capital Gains Tax. These taxes are currently not being adequately collected; and it is my sincere hope that discussions here will generate the much-needed drive; for the efficient administration of these taxes and also ultimately increase revenue generation; by both the state and federal governments.”
The Accountant General of the Federation, Ahmed Idris, who was represented by Salawu Zubair; stated that there was a need for the country to spend more on critical infrastructure.
“What is clear is that we need revenue, the challenge we have is not that our budget is big. The DG budget has also reiterated this, he said that what is required is for us to spend more; considering the infrastructural deficit that we have.
“That is why the Minister of Finance has always mentioned; that the challenge we have in the country is a revenue challenge,” he said.