Acting Executive Chairman of Federal Inland Revenue Service (FIRS), Sunday Ogungbesan has harped on the need for more collaboration between his agency and state governments.
He said this will strengthen Tax administration in the states and at the federal level as well as eliminate bottlenecks and areas of conflict.
Ogungbesan who said this at a media parley on Friday in Lagos, noted that the the Agency has started implementing various initiatives aimed at increasing Government revenue through taxes with the drop in global oil prices.
He said the initiatives are structured along the broad areas of automation, process improvement and capacity building.
He noted that the reform which involves the introduction of Integrated Tax Administration System (ITAS) is a mechanism which automate core tax administration processes and enables online interface between FIRS and taxpayers, adding that the Agency had registered and issued Tax Identification Number to about 1,189,722corporate and individual taxpayers as at July, 2015.
He also revealed that the Agency introduced automated system for tracking and remittance of Value Added Tax (VAT) from key sectors, online electronic system of tax payment which enables online payment and monitoring in real-time and E-filing system which allows electronic filing of tax returns and accompanying documentation.
He said FIRS is equally collaboration with Office of the Accountant- General of the Federation to ensure source deduction and remittance of taxes from Government contracts and of employees emoluments through GIFMIS and IPPIS.
“Other areas of reforms are Automation of the statutory reporting process from Banks to FIRS Process Improvement, improved engagement with Central Bank, Office of the Accountant General of the Federation and other relevant agencies to improve collaboration
“Re-organization and streamlining of existing functions to promote professionalism and effective linkage between core tax and support functions which include strengthening of audit functions nationwide through regionalization and deployment of core tax professionals to oversee audit functions.Strengthening of taxpayer service and enforcement functions to bring tax administration closer to taxpayers and also improve voluntary compliance.
“On-going collaboration with the Federal Ministry of Finance and Nigerian Investment Promotion Commission to streamline tax incentives and eliminate misuse. Review of tax legislation and tax rulings along with issuance of regulations to provide clarity on interpretation and application of tax laws,” he explained.
Ogungbesan said FIRS has embarked on the implementation of a comprehensive Capacity Enhancement Programme aimed at building the capacity and capability of staff in key tax administration processes like audit, filing and debt management, improved training of staff to enhance professionalism, training of specialized unit to handle Transfer Pricing and improved access to capacity building opportunities from regional and international organizations such as African Tax Administration Forum, Organization for Economic Cooperation and Development (OECD) Global Forum on Transparency and Exchange of Information for Tax Purposes.