In a concerted effort to address the challenges faced by SMEs and foster an enabling environment for businesses in the Country, the Federal Inland Revenue Service (FIRS) has revealed plans aimed at detecting tax evaders, recovering lost revenues, and preventing leakages through enhanced tax enforcement schemes.
The announcement was made by the Executive Chairman of FIRS, Zacch Adedeji, during the annual workshop organized by the Commerce and Industry Correspondents Association of Nigeria (CICAN). The workshop’s theme centered around the “Effects of Federal Government’s Tax Reforms on the Economy.”
Adedeji underscored the significance of these measures in light of the Federal Government’s commitment to increasing the tax-to-Gross Domestic Product (GDP) ratio to 18 percent within the next three years. Notably, the government aims to achieve this target without resorting to additional taxes but by leveraging tax laws to bolster compliance among businesses.
Speaking at the event, Adedeji, who was represented by Mrs. Oyeniyi Fadekemi, the Director and Coordinator of Lagos Island FIRS, emphasized that the success of these reforms hinges not solely on governmental efforts but requires active participation and cooperation from the business community.
He urged all stakeholders to embrace the proposed reforms, fulfill their tax obligations, and collaborate with the government to build a robust and resilient economy highlighting the importance of a collective effort in realizing these objectives.
The strategy includes the implementation of measures to identify and pursue tax evaders rigorously. The goal is to plug revenue leakages and ensure that businesses contribute their fair share to national development.
He emphasized that a collaborative approach between the government and the business community is crucial for building a sustainable economic foundation.
The use of tax laws as a tool for compliance enhancement is expected to play a pivotal role in achieving the government’s ambitious targets without imposing additional financial burdens on businesses.
As the nation strives to navigate economic challenges, these initiatives are positioned to fortify the revenue base and create a conducive environment for businesses to thrive.
