The National Economic Council (NEC), Thursday directed the immediate discontinuance of duplicate efforts in tax generation by some states and federal agencies.
To ensure effective compliance with the directive, the council, chaired by Vice President Namadi Sambo, directed the Acting Inspector-General of Police (IGP), Suleiman Abba, to enforce full compliance by dismantling all roadblocks meant for collection of taxes in any part of the country.
In a joint media briefing of State House correspondents after the meeting in Abuja, Governors Willie Obiano of Anambra, Idris Wada of Kogi and Ibrahim Dankwambo of Gombe, as well as the Minister of National Planning, Dr. Abubakar Suleiman, said the decision was part of the resolutions taken at the council.
Obiano said the decision followed a brief from the Ministerial Implementation Committee (MIC) on the harmonization of taxes, presented by the Chairman, Federal Inland Revenue Service (FIRS), on behalf of the Coordinating Minister of the Economy (CME) and Minister of Finance.
He noted that the committee was raised following a report by the Manufacturers Association of Nigeria (MAN) to NEC on multiple taxation across the federation at various levels and its effect on the economy.
The MIC findings included that the 1998 Taxes and Levies Act had been overdue for review, and that there is duplication of some taxes and levies at states and council, while the levies being administered by some states were not backed by appropriation legislation.
He listed some of the recommendations of the committee to include the discontinuation of the use of non-revenue officials for collection of taxes and levies by states and federal agencies, as this is contrary to Section 2 of the Taxes and Levies Act.
Besides, the report noted that states’ revenue boards should be empowered to automate their tax operations for effectiveness, process, accountability, and to reduce leakages.
