National Economic Council bans use of non-revenue officials for tax collection

The National Economic Council has banned the practice of using non-revenue officials for collection of taxes and levies by states and federal agencies.

This is contrary to Section 2 of the Taxes and Levies Act.

The National Economic Council is made up of the 36 state governors, chief economic advisers, central bank governor, solicitor-general and is chaired by Vice President Namadi Sambo.

Following the recommendation, council directed that the inspector general of police should dismantle all ‘road blocks’ mounted on highways for revenue collection.

Briefing journalists after the NEC meeting, the Anambra State governor, Willie Obiano, who briefed alongside the governors of Gombe, Ibrahim Dankwambo; Kogi, Idris Wada; deputy governor of Bayelsa, John Jonah Gboribiogha, as well as the ministers of National Planning, Abubakar Suleiman and the acting chairman, Federal Inland Revenue Service (FIRS), said council took the resolution following a briefing of the Ministerial Implementation Committee (MIC) on the harmonisation of taxes presented by the chairman, FIRS, on behalf of the CME/HM finance.

The MIC was set up following report of the Manufacturers Association of Nigeria (MAN) to NEC on multiple taxations across the federation at various levels and its effect on the Nigerian economy.

According to him, some of the findings of the MIC are: the 1998 Taxes and Levies Act is overdue for review, there is duplication of some taxes and levies at states and local governments, taxes and levies administered by some states are not backed by appropriation legislation.

“Some of the recommendations by the MIC include: the discontinuation of the practice of using non-revenue officials for collection of taxes and levies by states and federal agencies as this is contrary to Section 2 of the Taxes and Levies Act.

“All states revenue boards should be empowered to automate their tax operations for effectiveness, process, accountability and reduce leakages. NEC to direct IG of police to dismantle all ‘road blocks’ mounted on highways for revenue collection”, he said.
NEC further resolved that the MIC committee should work with states’ attorneys general representing the 6-geopolitical zones to incorporate the inputs and comments of the members of the council and report in the next meeting.
The zonal representatives include Enugu for South-East, Lagos for South-West, Bayelsa for South-South, Plateau for North-Central, Kebbi for North-West and Borno for North-East.
Council also received a presentation on National Power Sector Apprenticeship Scheme (NAPSAS) by minister of power, Chinedu Nebo.
Gboribiogha told journalists that the presentation observed that for close to 23 years there has not been structured skills training for the technical manpower that works in generation, transmission and distribution sub-sector.

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