Address Shortcomings in MDAs’ Withholding Tax Remittance, FIRS urges AGF
The Chairman of the Federal Inland Revenue Service (FIRS), Dr. Zacch Adedeji, has called upon the Accountant-General of the Federation, Mr. Shamseldeen Ogunjimi, to guarantee the timely deduction and remittance of withholding taxes from Ministries, Departments, and Agencies (MDAs) to the designated government accounts.
He delivered this message at a two-day workshop held in Abuja yesterday, focusing on the cooperation between the Service and other governmental entities to enhance tax administration in the nation.
The workshop’s theme was “Enhancing Tax Compliance through Collaboration.”
Adedeji articulated: “The Office of the Accountant-General of the Federation, with its central role in financial oversight and disbursements across MDAs, emerges as a crucial ally in the quest to bolster tax compliance, accountability, and ultimately, Nigeria’s revenue generation capability.
“Despite our technological progress, especially with GIFMIS and our TaxPro MAX platform, we still witness deficiencies in withholding tax deductions, VAT remittances, and stamp duty administration within the MDAs.
“These shortcomings, many of which stem from technical constraints and a lack of knowledge regarding tax compliance requirements, lead to substantial revenue losses and recurrent audit challenges.
“This workshop is not merely a venue to exchange knowledge but a strategic inflection point to collaboratively devise solutions that bridge existing gaps and foster a more intelligent, efficient, and technology-driven tax compliance culture in Nigeria.
“When governmental bodies are tax-compliant, the message conveyed to the private sector and citizens is profound: that no one is exempt from the law, and that transparency begins within the government itself.
“Our credibility as public institutions is initially assessed by our own adherence to tax regulations.
“To augment revenue in alignment with our national development goals, we must commence by ensuring that public sector entities adhere to regulations – and assist others in doing likewise.”
In his address, the AGF characterized tax as the cornerstone of every economy, asserting that in Nigeria, it remains a fiscal priority and a national necessity.
