OrderPaperToday – The Federal Inland Revenue Service (FIRS) has made a revenue projection to the tune of N5.9 trillion in 2021.
Chairman of FIRS, Mr. Muhammad Nami, who appeared before the House of Representatives Committee on Finance, declared the figure to the lawmakers in the National Assembly on Thursday.
He said that the 2021 budget is tailored to reposition service for a more effective tax collection for all tiers of government.
The chairman said that strategies have been put in place to enable electronic tax collection which will be in line with COVID-19 protocols.
Nami said that the FIRS will also deepen synergy with its state counterparts to generate more revenue for the country.
He said that the total of N289 billion was being earmarked for the operations of the service in 2021.
Nami said that N417 billion is for personnel cost, N94.9 billion is for overhead while N47.1 billion was for capital expenditures.
On the 2020 budget, Nami said that the 2020 target for revenue generation for the agency was N8.5 trillion but was later reviewed to N5.3 trillion because of the COVID-19 pandemic.
Nami said that the service, in spite of the lockdown and adverse effects of the pandemic, was able to generate N4.9 trillion.
He further explained that of the projected N180 billion non-oil revenue, the service was able to generate N130 billion.
Nami also disclosed that FIRS will not be recruiting in the 2021 saying that 60 per cent of its workforce is forced to stay at home because of the pandemic.
Earlier, the Chairman of the committee, Mr. James Faleke (APC, Lagos) said that the significance of budget defence cannot be overemphasised as it is a demand of the Constitution.
He said that Section 80 provides that all revenue raised shall be paid into and form part of the Consolidated Revenue Fund of the Federation.
Faleke said that subsection (1) states that no money shall be withdrawn from the Consolidated Revenue Fund of the Federation except in a manner provided by the National Assembly.
“In response to the above, the FIRS as a responsible and law abiding agency has therefore submitted the 2021 Revenue Estimates and Expenditure to this august committee for legislative scrutiny and consideration for onwards further legislative business of the House of Representatives.
“On our part as a committee, we have the constitutional mandate under section 62(2) of the Constitution to discharge the onerous task of consideration and presentation to the plenary.
“Also we are obligated by the oath of membership under the same Constitution to do justice to this assignment,” he said.
Mr. Chike Okafor (APC, Imo) applauded the FIRS for generating 98 per cent of its targeted revenue in 2020 in spite of the Covid-19 pandemic which affected many countries of the world including Nigeria.