Chairman of Federal Inland Revenue Service (FIRS), Zacch Adedeji, has allayed the fears of Nigerians on possible introduction of new taxes through proposed tax reform laws.

Adedeji made this known during an interactive session with members of the Senate Committee on Finance in Abuja on Tuesday.

He assured Nigerians that the tax reform laws would not entail introduction of new taxes or increase in the already existing ones.

‘Tax reform will not introduce any tax or increase the percentage of the existing ones but it will reduce the number of taxes being paid by Nigerians.

‘No agency will be merged in the process of carrying out the reform and no job will be taken from anybody.

‘The tax reform basically seeks to increase the simplicity and efficiency of tax administration in Nigeria,’ he said.

Adedeji said that there were four executive bills already forwarded to both chambers of the National Assembly to legalise the reform.

The bills, according to him, include: Nigeria Tax Bill, Nigeria Tax Administrat
ion Act (amendment) bill, Nigeria Revenue Service bill and Joint Revenue Board (establishment ) bill.

Adedeji said that the four bills, when passed, would, among others, help to harmonise the multiple tax laws in the country.

‘They will drive efficiency and modernisation, simplify tax laws and ensure synergy among the agencies involved.

‘The bills will also increase efficiency and effectiveness in government savings, promote transparency and integrity in revenue collection, align with international standards and broaden Nigeria’s tax base,’ he said.

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When asked why FIRS, as contained in one of the bills, would be changed to Nigeria Revenue Service (NRS), Adedeji said the present name of the agency did not cover the scope of its services.

‘Like the Value Added Tax (VAT), 85 per cent are remitted to states while the federal government gets the remaining 15 per cent,’ he said.

In his remarks, Chairman of the commit
tee, Sen. Sani Musa said that the purpose of the interactive session was for FIRS to update the committee on what the tax reform bills were aiming at.

‘Tax reforms lie at the heart of government’s agenda and require constructive inputs from all stakeholders,’ Musa said.

He commended the FIRS boss for meeting up with the revenue targets set in the fiscal year, even as he urged him to go beyond the target.

Source: News Agency of Nigeria