FIRS Goes After 49,783 Companies Invading Tax To Curb Illicit Financial Flow

By Matthew Ogune, Abuja

THE Federal Inland Revenue Services (FIRS) yesterday in Abuja said enforcement is ongoing to bring to book about 49, 783 companies, partnership and enterprises that have been invading tax payment over the years.

FIRS Chairman, Mohammed Nami disclosed this at a meeting to review a report on illicit financial flow in relation to tax organised by the Independent Corrupt Practice and Other Related Offences Commission (ICPC).

According to Nami, the FIRs is carrying out the operation to curb illicit financial flow activities in the country, adding that the body had in 2018 written to all commercial banks requesting for a list of all companies, partnership and enterprises with N1billion banking turnover.

Nami further disclosed that the FIRS also requested the list of companies partnership and enterprises with banking turnover ranging between N100 and N999million.

The Chairman explain that: ” The 23 banks that responded found out that companies partnership and enterprises with banking turnover of N1billion was 18, 602. Out of this, 11, 830 were paying some type of taxes, 6,722 were not paying tax at all while 4500 have been profiled for enforcement.”

According to him, amount recovered from defaulting taxpayers as at September 2019 stood at N37. 327billion.

Under companies partnership and enterprises with banking turnover between N100 and N999million, Nami said: “23 banks respond and it was gathered that from the 18, 602 companies partnership and enterprises with such turnover, above 56 percent were full tax compliance, 45, 283 were not paying tax at all, while 45, 283 have been profiled for enforcement.

According to Nami, the amount recovered from defaulting taxpayers under companies partnership and enterprises with banking turnover between N100 and N999million as at September 2019 stood at N45, 889billion.

He called for stiffer laws and regulation to deter future IFF actions by people determined to engage in such act.

Speaking earlier, ICPC Chairman, Prof. Bolaji Owasanoye who urged stakeholders to recongnise the rapidly changing world and the need to be on top of the game as a nation, expressed worry that about 20 percent of the African Union illicit financial flow report which estimated that the continent was loosing nearly $50billion through profit shifting by multinational cooperations was from Nigeria alone.

According to Owasanoye, taxes plays a very strategic role in the nation’s political economy and a very crucial focus in curbing of Illicit fund flows and ease of doing business in Nigeria.

End.