Eighty per cent of taxable Nigerians do not have a taxpayer identification number and are therefore not paying taxes, the Chairman , Edo State Internal Revenue Service (EIRS), Sir Oseni Elemah,has revealed.
Elemah told NAN at the ongoing Annual Tax Conference (ATC) organised by the Chartered Institute of Taxation (CITN) in Abuja that such had paved way to high tax evasion and avoidance.
The Taxpayer Identification Number (TIN) is a unique number allocated and issued to identify a person (individual or Company) as a duly registered taxpayer in Nigeria.
He stressed that the huge and massive leakages in Nigeria tax system as well as companies operating without filing annual assessment was due to lack of TIN.
“When you calculate the tax income revenues Nigeria ought to have made and deduct it from the amount realised, we will all understand Nigeria is missing much.
He said in order to have a transparent tax administration that is accountable, all taxable Nigerians and companies must be made to get TIN.
“A Nigerian becomes taxable when he or she becomes 18 years and earns a regular income, such individual must file annual returns for assessment.
“Many Nigerians are still outside the tax net, it remains so without TIN number,’’ he said.
He said that other sources of tax income generation include, Company’s Income Tax, Personal Income Tax, Petroleum Income Tax and Valued Added Tax (VAT) among others.
According to Elemah, the country needs massive reforms that would drag all taxable Nigerians into tax net.
“All taxable Nigerians and companies must be made to acquire TIN and this must go with immediate enforcements,’’ he said.
He further said that TIN would bring immediate voluntary compliance.
He added that TIN would bring Nigeria’s tax administration and practice in line with global best practices, enhance taxpayer identification and registration and minimise leakages in tax collection.
“It would also facilitate information sharing between various tiers of Government, create a more conducive environment for investors and ultimately inspire greater confidence in Nigeria’s taxation system.
“It is also a good medium to drain illegal taxes and double taxation,” he said. Click to signup for FREE news updates, latest information and hottest gists everyday
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They are not working so why would they pay tax go and ask the Indians and China workers to pay tax nonsence
ReplyDeleteThe one wey we've paid so far where is the return on it. Present Govt is mad.
ReplyDeleteIn an ideal world, revenues generated from tax are used to improve social amenities: good motorable roads, constant electricity supply, street lights, clean environment, recreational centres and parks etc. Tell me are these available in Nigeria? Why would Nigerians pay tax? What is the justification for the taxation? Quite a larger percentage of them are either jobless or doing a job they are not proud of or uncertain of their job security.
ReplyDeleteU should go ask Guvnors, ministers and legislators to pay their tax. Those are worth taxing for certain