Fidelity bank banner Bayelsa State banner
Amosun wants review of VAT-sharing formula, accuses wealthy elite of dodging tax

By News Express on 25/07/2016

Share on facebook Yahoo mail icon Gmail icon Share on Google+

Views: 992


Ogun State Governor, Senator Ibikunle Amosun, has canvassed a review of the sharing formula of revenues accruing to the federation account through non-oil taxes including Value Added Tax (VAT).

“The non-oil revenue sharing formula currently in use is obsolete. As at the time it was done 20 years ago, Ogun State, for instance was way back because of the number of industries we had then. Today, Ogun State is the industrial capital of Nigeria. The sharing formula should reflect this new reality. This is derivation in another form,” Governor Amosun stated on Monday while playing host to the management of the Joint Tax Board who had come on a courtesy visit to his Oke-Mosan, Abeokuta office.

While addressing the JTB management team led by Babatunde Fowler, Chairman JTB and Chairman of the Federal Inland Revenue Service (FIRS), Governor Amosun said: “It is a good thing that for the first time in the life of this administration, non-oil receipt accounted for over 70 percent of the fund shared at the last FAAC. It is a commendable and a welcome development because it signifies a major shift in focus from oil to non-oil revenue.

“But in the same token, I think it is very expedient to ask that we cast a second look at the formula we use in sharing the proceed from these non-oil revenue.

“If we make a lot of money from industries, we should also remember that these companies reside in a state and they put enormous pressure on the environment and the roads in those states. Those various state governments carry the can and pick the bill for cleaning the environment. It is therefore only good for the management of RMFAC to give more back to those states hosting these companies.”

The Ogun State governor also seized the opportunity to challenge the management of the Joint Tax Board (JTB), which includes chairmen of 36 states Internal Revenue Services, representatives of the Revenue Mobilisation and Fiscal Allocation Commission (RMFAC), the Nigerian Customs Service and the Immigration Service, to “device creative strategies” for ensuring that more wealthy Nigerians are brought into the national tax bracket.

“The rich and wealthy don't pay taxes and even when they do, they underpay. They make a lot of money but don’t pay anything or don’t pay the requisite tax. We all go to other advanced nations and see that these wealthy people don't escape the way they do here. So the challenge for the JTB is to correct this. You must think out of the box to achieve this,” Governor Amosun said.

Speaking earlier, Fowler said the JTB management team was in Abeokuta for the 135th meeting of the group.

Fowler praised “the excellent performance” recorded by the Ogun State government in its Internal Revenue drive. He revealed that the state came first in 2015 as it grew its internal revenue base by 50 percent.

The JTB boss also announced that non-oil receipt accounted for over 70 percent of the over N500bn shared at the last FAAC meeting.

The Ogun State governor later attended the opening ceremony of the 135th Meeting of the Joint Tax Board where he enjoined the JTB management to increase their non-oil revenue drive.

Speaking at the opening ceremony, Fowler explained that the meeting was to ensure uniformity of taxation and compare notes in tax administration across the various states of the federation.

He lamented that 33 states of the federation currently rely on federal allocation to fund their budget, saying the goal of the meeting was also to bring other states to a level where they are able to generate at least 50 percent of their budget internally.

The JTB boss noted that only 10 percent of taxable adults are currently being taxed in Nigeria.

Fowler however revealed that the JTB targets 10 million new taxpayers before the end of 2016.

•Photo shows Governor Amosun.

Source News Express

Posted 25/07/2016 9:44:32 PM

 

Share on facebook Yahoo mail icon Gmail icon Share on Google+


 

CLASSIFIED ADS

REVEALED: 3 natural ways to get stronger erections, last 25 minutes on bed, and increase manhood size without using drugs. Also, Natural Prostrate Enlargement Remedy.. Get In HERE...

 

You may also like...
Hurricane APC: Kwankwaso, Yakowa’s aides to join new...

Security challenges loom over Buhari’s re-election bid

Army Boss lays foundation for Southern Kaduna military...

Ogoni leaders lament ‘wuru wuru’ cleanup exercise

El-Kanemi Warriors FC set to recruit IDPs

Impeachment: Governor Nyako flees Adamawa

ICANN (Internet’s Domain Name managers) to open hub...

Air Force fighter jet crashes in Adamawa

Ortom denies building private varsity

AMCON takes over Stella Oduah’s assets over unpaid...

Quit Notice: Biafra youths lambast Uwazuruike over peace...

MTN unfolds plan to double spending in Nigeria...

 

Latest News 2019: Atiku shuts down Yola APC a dying party swimming in corruption — Secondus •Promises Tsunami in the weeks ahead It’s payback time for Turaki’s loyalty, says Bauchi State PDP 431 Pharmaceutical shops sealed in Imo How ex-IGP Ibrahim Coomassie ordered my arrest, imprisonment in Kirikiri Prison – Shehu Sani Fire guts main market in Jos, razes 217 shops Ekiti Election: Oshiomhole exceeded expectations in his first national assignment as APC Chairman — Senator Alimikhena Adegboruwa weighs options as Joe Igbokwe eats the humble pie Kano has over 3 million out of school children – Ganduje UK to assist INEC deliver credible, free and fair polls in 2019 We have not suspended issuance of cards — NIMC Police to support Eko Disco on debt recovery

 

Most Read NUDE PHOTO OF OMOTOLA JALADE-EKEINDE surfaces online (363,444 views) Nigerian female sex addict opens up, says ‘I like it with both men and women’ (359,148 views) Shameless Genevieve Nnaji exposes breasts in public (287,545 views) Finally named: The full list of friends of Nigerian female sex addict who prowled Facebook (235,960 views) OLUMBA OLUMBA OBU (the one who called himself God) IS DEAD (215,281 views) Igbo scholar disgraces Femi Fani-Kayode •Demolishes claims on Igbo/Yoruba history with facts and figures (212,951 views) Breaking News: POPULAR REVEREND CONVERTS TO ISLAM in Kaduna (Nigeria) (187,045 views) OBJ’s son reported dead in Lagos plane crash •Names of more victims emerge (168,998 views) THE FINAL DISGRACE: Igbo scholar unleashes more facts about Igbo/Yoruba history, finishes off Femi Fani-Kayode with second article (156,570 views) My wasted years in Olumba Olumba Obu’s Evil Brotherhood (153,285 views) Lagos plane crash: Journalist releases victims’ names (148,067 views) Gunmen kill ASP, 2 other police officers in vain bid to kidnap Rivers PDP chieftain (139,175 views)

 

Categories Advertorials (3) African Press Organisation (81) Art & Literature (52) Business & Economy (3,364) Business Verdict (48) Columnists (890) Complaints & Requests (94) Enterprise & Opportunities (207) Entertainment (516) Features (616) Global Business Monitor (286) International (2,156) Interview (158) Live Commentary (28) Love Matters (127) News (37,333) Opinion (1,024) Pidgin (10) Politics (5,638) Religion (788) Sports (1,612) Stock Watch (33) AMA & Al Jazeera Global Update

 

CBN banner

Firstmobile banner

 

 

NEWS EXPRESS TV

Nigerian detainees send SOS from Osama prison

 

APO Group Partner

 

 

CLASSIFIED ADS

GOCOP Accredited Member

GOCOP Accredited member

 

 

Africa Media Agency and Al Jazeera

Advertisement