FIRS To Adopt Digital Taxation In 2022 To Block Revenue Leakages

1 year ago 101

The Federal Inland Revenue Service (FIRS) has warned that anybody who fails to grant access to its information technology systems this year to connect to its automated tax administration solution is liable for penalties.

This is as the federal government tax control agency said it would give priority to the taxation of the digital economy this year than the previous year, Naija News reports.

While expressing hope that citizens would play by the rules, the agency stressed that it would deploy technological tools in assessing entities that fall within the Significant Economic Presence (SEP) threshold and relevant turnover generated from Nigeria.

Executive Chairman of FIRS, Muhammad Nami, who spoke as a special guest at the Pedabo 2022 Annual Public-Private Sector Engagement, said that the target of FIRS is to achieve 100 per cent automation of all its tax administration processes this year to block revenue leakages.

Nami noted that by the amendment to Section 25 of the FIRS (Establishment) Act of the 2021 Finance Act, any individual restricting the service access to its information technology systems to connect to its automated tax administration solution is liable to penalties.

He said the agency expects the full cooperation of citizens in this regard. Nami, again urged all taxpayers, consultants, collection agents and other stakeholders in the tax system to cooperate with the FIRS to make taxation and tax revenue collection a pivot of economic growth and national development.

He explained further that the Service had leveraged on the amendments to its enabling law to embark on “a major infrastructure overhaul, focusing on the deployment of technology for the automation of its processes and procedures, thereby deploying its home-grown integrated tax administration system, TaxPro Max.”

The FIRS boss in a statement signed by his Special Assistant, Media and Communication, Johannes Wojuola, stated that the Service “will focus on compliance and enforcement strategies in 2022, by leveraging on intelligence, strategic data mining and analysis, to enhance audit and investigation functions and implementing the penalty regimes following the laws.”

Download NAIJA NEWS app:

Download Naija News App for Android
Read Entire Article