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FIRS Boss Reveals Multiple Revenue Collection Agencies Responsible For leakages

Published

2 years ago

February 28, 2024

Gloria Ikibah

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By Gloria Ikibah

The Executive Chairman of Federal Inland Revenue Service (FIRS), Zach Adedeji, has said that the collection of revenue by over 60 government agencies is the major cause of leakage of funds.

Adedeji who disclosed this when he appeared before the House of Representatives Committee on Finance, chaired by Rep. for bugdet hearing, said this duty should solely be the responsibility of the Service to ensure greater accountability in the system.

He asserted that other revenue collection agencies of government should focus on their various core mandates; and further advocated for a single window method of tax collection to make the process less cumbersome and check the loss of government funds.

According to the FIRS boss, one of the challenges facing this was lack of verifiable data in the country.

He said a bill would be sent to the National Assembly to ensure all Nigerians have one single number of identification.

He said, “We are doing a lot of reforms including the single window because if you look at FIRS, what we collect mainly is company income tax. The problem we have is that we do not have verifiable data in the country. So one of the major things we are doing which hopefully in the next two weeks or one month maximum, a law would be sent to the House to change so that all Nigerians must have one single number of identification which by law today is NIN. The plan is to make sure everything we do as citizens is linked directly to this NIN. This would also help address issue of tax leakage.”

Adedeji said the Services was given a mandate to collect the sum of N10 trillion based on the Medium Term Expenditure Framework (MTEF) that was passed in 2023 which was reviewed upward to N11 trillion during the year.

He noted that the Service was able to deliver N12.3 trillion as the revenue collected for the year 2023 which was 11 percent above the target set by government.

Adedeji said the performance was as a result of the internal reform that they embarked upon and the favourable economic policy decision by the President.

The FIRS Boss said the mandate of the Service for 2024 through the MTEF is to collect N19 trillion which is an additional N7 trillion compared to what was collected in 2023.

He said the bulk of it is coming from positive projection from oil and gas revenue.

He however said if this ambitious target of N19 trillion is to be met there is need to restructure the service to be more focused.

Adedeji said, “So instead of having types of taxes, what we do now is to categorise by the turn over which is customer focused. Now we have large tax if your turnover is above N5 billion. Between N1 and N5 billion is medium and anything less than N1 billion is a small tax payer.

“The reason for this is simple. We want to provide a one stop shop for tax payers. Where one can do all forms of taxes. This would reduce multiple audits and distraction to the businesses. It is our intention that 80 percent of core service job is done by the service.

“The tax to GDP is very low compared to our peers and that is why we have to come up with those reforms that Mr President has approved. One of it is the setting up of that tax reform committee. What we see is that in other climes, you have single revenue collecting agents. But here in Nigeria we have more than 62 agencies collecting one way or the other on behalf of Federal Government.

“And when you see people focussing on revenue instead of going to their area of strength, when everybody tries to collect, the leakage is all there. Two is the law that we have. Most of them are obsolete. For example the digital tax that we are talking about there is no law in Nigeria that empowers us to effectively tax all these digital businesses which we know is on the rise.

“Also our processes, Mr Presidnent approved that going forward we should pay our contractor’s directly instead of moving money to MDAs, most especially capital funding. What that would do is that we can deduct tax and also help us in cash management.

“We are also doing a lot of reforms including the single window. Because if you look at FIRS what we collect mainly is company income tax which is result of the difference between cost of sales and gross sales. But cost of sales if inflated means you would have less profits and less taxes.

“Today we don’t have anywhere to confirm the major cost of sales of all these companies because when they do the valuation sometimes, they do not have verifiable value to do that”, he noted.

Chairman, House Committee on Finance,, Rep. James Faleke, queried if the proposed single window revenue would mean whether Customs, NIMASA, NPA and all the major revenue collectors would be subject to the FIRS or the Service would be collecting revenue on their behalf.

In response, Adedeji said these agencies should rather concentrate on their individual primary mandates and leave the revenue collection to the FIRS.

He said, “This is the way. If you look at the basis of collection like you mentioned, I use NIMASA as example, the basis of collection for NIMASA is 3 percern of FOB. That has nothing to do with Marine. FOB, if you have the single window, you know the total number of vessels coming into the country and going out and the fee is just 3 percent, so what does NIMASA need to do about that.

“What we are saying is that these agencies were set up to do core duties. When you talk about Customs, they are border and trade facilitation. Revenue is not core mandate of Customs. Customs is about border and trade facilitation. So when you have single window, all what you say Customs collects because the real principle of single window is that everything coming to the country is in advance notified, so you know the number of containers coming, the volume, what is there and you know the amount and they pay you once.

“When you do that, the Customs collecting this and that or the NPA collecting also, this would go. When we talk about single that is why they say revenue service. If you go to UK or South Africa, you don’t see Customs Customs collecting revenue. They are merged.

“I am not saying it is bad but it is not the duty of FIRS to be approving payment for roads. I don’t have people who would monitor whether that road is done or not. So my duty is to access, collect and account for all revenue due to Federation. So any other job may be good and laudable but that is not my core duty. So the same things happens when you see a lot of other agencies collecting revenue. And that is when you see leakages,” he added.

The Chairman commended the initiative to ensure payments are made directly to the contractors and not the MDAs.

He reiterated the commitment of the Committee to ensure that leakages are addressed and revenue increased to make life better for the ordinary Nigerian.

He said, “No one here will doubt your capability, it’s just the political will. Thank God that we have a president who has given you the authority and of course back you with that political will to reform our tax system. What you have to do is to look inward and ensure that you have directors and staffers who will not and negotiate you out.

“We have document to show that we have operators of our revenue collection who also negotiate and say you can pay this, we will do this. That is exactly what we are facing.

“With all the things you have enumerated, only you cannot do the job. You also have to delegate. So what this means is that every one of your staff who are on oath will ensure that they do the right thing.”

News

Iran slams US blockade as ‘grave violation of sovereignty’

Published

18 minutes ago

April 15, 2026

EMMANUEL AGAJI

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Iran slammed a US blockade around its ports on Monday as a “grave violation” of its sovereignty, as Washington and Tehran’s belligerent rhetoric rattled a fragile truce.

“The imposition of a maritime blockade constitutes a grave violation of the sovereignty and territorial integrity of the Islamic Republic of Iran,” Iran’s ambassador to the United Nations Amir Saeid Iravani wrote to UN Secretary General Antonio Guterres, in a letter seen by AFP.

The “unlawful” blockade also “constitutes a serious violation of the fundamental principles of the international law of the sea,” Iravani added.

US President Donald Trump ordered a blockade of ships entering or leaving Iranian ports and coastal areas in the Gulf Sunday, following the failure of peace talks over the weekend, warning that any Iranian attack boats that challenged the blockade would be destroyed.

The blockade came into force at 1400 GMT Monday, despite the United States and Iran agreeing to a two-week ceasefire days earlier, with mediator Pakistan and Gulf state Qatar continuing calls for it to be respected as diplomatic efforts continue.

Guterres on Monday called on “all parties” to respect freedom of navigation in the Strait of Hormuz, after Iran and subsequently the United States blocked passage through the critical waterway.

The strait, through which a fifth of global oil and gas flows, has become a key flashpoint as the US and Iran attempt to gain leverage over each other during ceasefire negotiations.

Iravani said the “unlawful” blockade “poses a grave threat to international peace and security and obviously exacerbates the risk of escalation in an already highly volatile region.”

In a second letter, the UN envoy called on Middle Eastern countries hosting US military bases to “cease their internationally wrongful acts.”

Bahrain, Saudi Arabia, Qatar, the United Arab Emirates and Jordan should pay “compensation for all material and moral damage sustained,” he said.

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El-Rufai distances self from comments on political aspirations attributed to associate

Published

20 minutes ago

April 15, 2026

EMMANUEL AGAJI

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Former Kaduna State Governor Nasir El-Rufai has distanced himself from recent media reports linking him to certain political aspirations, saying the comments were made without his knowledge or authorisation.

In a statement issued on Tuesday by his Media Adviser, Muyiwa Adekeye, El-Rufai said the remarks had been attributed to an unnamed individual described in media reports as his political associate, and that he had no hand in them.

“Malam Nasir El-Rufai wishes to dissociate himself from comments regarding political aspirations which have been attributed to someone described by the media as a political associate,” the statement read.

“He did not authorise such comments.”

The disclaimer pointedly underscored El-Rufai’s reputation for speaking his mind directly, with the statement noting that he had been known throughout his public life for the frank articulation of his views.

“He is not about to outsource the expression of his political views and thoughts to others,” the statement added, warning that any future communication from the former governor would come directly from him or through his designated spokesperson.

El-Rufai did not identify the associate in question, nor did the statement specify the nature of the political aspirations that had been reported.

However, the swift and emphatic denial suggests the former governor was keen to prevent any impression that the comments reflected his current political thinking or intentions.

JAMB declares readiness for 2026 UTME, urges parents to protest admission violations

The disclaimer comes amid heightened political activity ahead of the 2027 general elections, a period in which the positions and affiliations of prominent political figures are under intense media and public scrutiny.

El-Rufai, a former Minister of the Federal Capital Territory and two-term governor of Kaduna State, remains one of the most closely watched political figures in northern Nigeria.

His next political move — including which party platform he may adopt ahead of 2027 — has been a subject of widespread speculation.

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Police arrest three over theft, vandalism of Yobe TV transformer

Published

4 hours ago

April 15, 2026

Admin

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The Yobe State Police Command said its operatives have arrested three suspected vandals involved in the destruction and theft of transformer components belonging to Yobe State Television at Garin Alkali Booster Station.

The Command, through its Public Relations Officer, SP Dungus Abdulkarim, disclosed this in a statement issued on Tuesday in Damaturu.

According to the Command, the arrest was made on April 14, 2026, by its operatives stationed in Garin Alkali while acting on credible intelligence.

“The arrested suspects are Muhammad Auwali, a.k.a. Aburare, 51, Inusa Lawan, 53, and Hassan Ibrahim, 27, all of Bursari and Gashua axis, Bade LGA. One accomplice identified as Ozu, is currently at large.

“Preliminary investigation revealed that the suspects criminally conspired and vandalised a transformer located at the YTV Booster Station, Garin Alkali, Bursari LGA.

“The suspects dismantled the transformer and sold part of the metal components”, it said.

The Command added that upon interrogation, the suspects confessed to the crime and admitted to selling some of the vandalised transformer parts to Hassan Ibrahim for the sum of N250,000, out of which N150,000 had already been paid.

“Investigation is in progress, after which the suspects will be charged in court for prosecution”, the police command said.

Commissioner of Police Usman Kamfani Jibrin, in the statement, warned scrap metal dealers against purchasing suspected stolen items and urged them to cooperate with security agencies in protecting critical public infrastructure.

He stressed that anyone found involved in such unlawful activities will be dealt with in accordance with extant laws.