FCT Picked As Model For National Tax Harmonization

The Federal Capital Territory (FCT), has been selected as the model for implementing the harmonisation of taxes across the country.

This was revealed by Mr. Taiwo Oyedele, Chairman of the Presidential Fiscal Policy and Tax Reform Committee, during a meeting organised by the FCT Internal Revenue Service (FCT-IRS) with Area Council Chairmen on Friday.

According to Oyedele, the harmonisation aims to simplify the tax collection process, a move that he said will boost revenue generation.

“Harmonisation and simplification of taxes would not reduce revenue as some people perceived in some quarters rather it would enhance revenue generation,” Oyedele explained.

He expressed his support for the steps taken by the FCT-IRS towards this course and emphasised that using the FCT as a model could help address the challenges of multiple taxation in Nigeria.

Oyedele called on states and the FCT to eliminate unorthodox methods of collecting taxes, levies and fees, such as roadside and highway tax collection, which he described as “unacceptable and embarrassing.”

He advocated for the use of technology to improve transparency, prevent tax evasion, and reduce leakages in the tax collection process.

“FCT has the potential to be number one in the Ease of Doing Business in Nigeria,” Oyedele stated, urging stakeholders to collaborate in making the harmonisation project a success to fight the challenge of multiple taxation in the country.

He acknowledged that harmonisation and simplification of taxes, as well achieving equity and fairness in revenue administration were critical areas of reform for his Committee.

In his remarks, Mr. Michael Ango, the Acting Executive Chairman of FCT-IRS, praised the Area Council Chairmen for their openness and commitment to the project.

He assured that the FCT-IRS would keep the FCT Minister informed on all developments, emphasising that the Minister is equally supportive of efforts to increase revenue for infrastructure development and social services.

Ango also stressed the importance of constant engagement with stakeholders and noted that the Service would implement a robust technology platform to ensure transparency and efficiency in revenue collection.

Mr. Ubokutom Nyah, Mandate Secretary for Economic Planning, Revenue Generation, and Public-Private Partnerships in the FCT Administration (FCTA), echoed the Minister’s commitment to the harmonisation initiative. He lauded the FCT-IRS chairman for reviving the crucial reform and encouraged Area Council Chairmen to fully support the plan.

Alhaji Abdullahi Sabo, Chairman of Kuje Area Council, who spoke on behalf of his colleagues, expressed satisfaction with the initiative. He pledged their support for its successful implementation but stressed the need for fairness and transparency in distributing the collected revenue.

Sabo also acknowledged the positive changes under the leadership of the current FCT Minister, noting that the past year had brought significant improvements across the territory.

FCT Picked As Model For National Tax Harmonization is first published on The Whistler Newspaper