The Nigerian government is targeting about N1 trillion annually from stamp duty as it predicts collection to soon become second only to oil revenue.
The Secretary to the Government of the Federation (SGF), Boss Mustapha, disclosed this on Tuesday at the official inauguration of the Inter-Ministerial Committee on Audit and Recovery of Back Years Stamp Duties and the Launch of the Federal Inland Revenue Service Adhesive Stamp in Abuja.
Mr Mustapha, who represented President Muhammadu Buhari at the event, also said plans are in place to recover a backlog of unremitted Stamp Duty Tax in the last six years.
“In the face of dwindling oil revenue, and the global shift away from oil-dependent technological products, it is even more compelling now to begin to think out of the box in order to safeguard the future of our country. Therefore, this administration has resolved to widen the revenue base by activating stamp duties revenue collection which has been neglected for more than 20 years.
“I hereby also direct and request that all relevant MDAs, particularly the Central Bank of Nigeria, NIBBS, MDBs, FIRS, NIPOST should give maximum cooperation to the Committee in the discharge of its mandate,” he said.
He said President Buhari has directed all recoveries made by the Committee to be remitted to the appropriate stamp duty account maintained by the FGN with the Central Bank of Nigeria. He said this is to ensure transparency and accountability in the recovery of back years stamp duty.
Increase in collection
Also, at the event, the Executive Chairman of FIRS, Muhammad Nami, disclosed that stamp duty collection by the service from January to June 29 rose to N66 billion from the collection between January and December 2019 which was N18 Billion
He attributed this increase to the dynamism triggered by the Finance Act 2019, sums warehoused by the CBN in respect of prior years, and the deployment of technology and stakeholders’ collaboration.
“The introduction of the FIRS Stamp Duties Adhesive Stamp will, among other things, plug the revenue sink-hole; enable proper accountability and transparency; simplify the administration of Stamp Duties; and reduce disputes,” he said.
In his remarks, the Senate President, Ahmed Lawan, who launched the adhesive stamp officially, said that FIRS deserved commendation for its impressive revenue collection.
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He promised that the National Assembly would continue to acknowledge, encourage, and support the initiatives and efforts of revenue-generating agencies of government.
“The Senate and the National Assembly will continue to provide the necessary legislative backings and oversight functions that will help maximise the revenue of the government and ensure that the government is better positioned to deliver its mandate,” he said.
The Speaker of the Federal House of Representatives, Femi Gbjabiamila, said there is close collaboration between the FIRS and the House as he reassured Mr Nami of continued support of the lawmakers, especially in legislative interventions to help the Service deliver its mandate successfully.
Other dignitaries at the event include the Attorney-General of the Federation and Minister of Justice, Abubakar Malami; Minister of Finance, Budget and National Planning, Zainab Ahmed.
Source: allafrica.com
