Lagos State has said that through serious commitments in its resolve to generate enough money to carry out the duties of governance, it has been able to plug avenues of tax leakages as well as employ modern technology for effective operations.
William Babatunde Fowler, executive chairman, Lagos State Internal Revenue Service gave the insight at the launch of KPMG CFO Survey recently.
Speaking on the theme, ‘Next Frontier in Tax Administration’ Fowler explained that taxation was an efficient tool to cushion the effects of new economic realities in Nigeria. He disclosed that there had been a steady growth of tax payers in Lagos State varying from 10 percent in 2005 to 21percent in 2013.
According to him, Lagos has been able to record huge success in its tax administration through advocacy, education and constant enlightenment of the populace.
“We have constant discussions with tax payers, sensitising them on the import of tax payment. What can the state provide for you without internally generated revenue? Oil will not continue to drive Nigeria’s revenue, we must look inwards,” he said.
Reeling out figures, Fowler said that the state’s IGR, increased from N18 billion in 1999 to about N237 billion in 2013 due to the adoption of new revenue generating strategies. “In 1999, Lagos State government generated about N18 billion as its IGR. But in 2013, the IGR increased to about N237 billion. This is an increase of about N219 billion within 14 years. There had been steady growth in tax payment in the state,” he said.
“Lagos State has witnessed phenomenal infrastructural and social development in the past years most of which were and are still being financed with taxes. In light of this, the Lagos State board of Internal Revenue Service will do all such things deemed necessary and expedient for assessment and collection of tax and shall account for all taxes collected,” he said.
Earlier, his Rivers State counterpart, Onene Obele-Oshoko, said the state constantly aims to be the significant driver of internally-generated revenue and a credible tax administration.
Obele-Oshoko said the state had put together a number of things to drive compliance and efficiency, among which are “stakeholders’ engagement, elimination of unprofessional conducts, engendering confidence in the service, manpower development, IT infrastructure, improved processes, clear operational procedures and adherence to provisions of the law.”
