Taiwo Oyedele, the Chairman of the Presidential Committee on Fiscal Policy and Tax Reforms in Nigeria, has said that most of those who pay taxes in Nigeria should not have.
Speaking at the Fiscal and Monetary Reforms Session of the 30th Nigerian Economic Summit in Abuja, Oyedele said to eliminate this anomaly, his committee is developing a data-driven system based on the economic activities of an individual’s National Identification Number (NIN) and a company’s Registration Number to ascribe tax brackets which will ensure everyone is paying the amount of tax that they should.
“The system we are working on has been proven everywhere: Rwanda, Kenya, South Africa and several other countries, and we can assure you that when it is eventually implemented, people who need to pay taxes will pay.”
Admitting that a trust deficit exists in the country’s tax system, Oyedele said his committee is also framing a National Fiscal Policy that sets a framework for building trust through budget spending and transparency across all tiers of government.
He also said the reform process prioritises local manufacturers, small and medium-scale enterprises, and society’s vulnerable.
“When we allow industries and manufacturers to grow and thrive, the economy grows, and when this happens, we have more economic activity, which will naturally translate into increased tax revenues”. Oyedele said