The Federal Inland Revenue Service (FIRS), would soon go after the bank accounts of defaulting taxpayers, who are raking in billions in Nigeria and are not paying taxes, FIRS Chairman, Tunde Fowler has said. In doing that, FIRS, through all banks in the country, would do substitution on accounts for such identified taxpayers.
There are Over 6,772 of such defaulting billionaire taxpayers being identified by the FIRS, leveraging on banks data. Fowler, who disclosed this at a stakeholders’ meeting on Thursday in Lagos, noted that most of such taxpayers, who have between N1 and N5 billion in their accounts have no Taxpayer Identification Number, TIN, or have TIN and have not filed any tax returns as taxpayers.
The FIRS Chairman said: “What we have done is what we call ‘’substitution‘’ which also is in our laws which empowers us to appoint the banks as collection agents for tax. So, all these ones of TIN and no pay and no TIN and no pay, to the total of 6,772 will have their accounts frozen or put under substitution pending when they come forward. First, they refused to come forward in 2016; they refused to come forward under VAT and are still operating here. So, we are putting them under notice that it is their civic responsibility to pay tax and to file returns on these accounts.” Fowler explained further:
“We looked all businesses, partnerships, corporate accounts that have a minimum turnover of N1 billion per annum for the past three years. First of all, the law states clearly that before you open a corporate account, part of the opening documentation is the tax I.D. From the 23 banks, we have analysed so far, we have 31,395 records, out of which effectively minus duplications we had 18,602.
“We broke those into three categories: Those that have TIN tax I.D, those that don’t have no TIN and of course no TIN, no pay and those that have TIN and have not even paid anything. “So, on a minimum, every company or business included here over the last three years have had a banking turnover of N3 billion and above. Some of them have had banking turnover of over N5 billion and have not paid one kobo in taxes. Now, the total number of TIN and no pay is 6,772. “So, if someone is good in mathematics and you take the minimum level of N3 billion multiply by 409 and they are operating within our society and economy and do not remit or make any tax payment.”
Paraphrasing the Nobel Laureate, Professor Wole Soyinka’s famous pithy quotation of wasted generation, Fowler said this generation should not repeat Soyinka statement by their conduct: “I plead with the banks to support us. In supporting us, you are supporting Nigeria. In supporting Nigeria, you are supporting all Nigerians and those who have chosen Nigeria as home. And most of all, you are supporting a future that we can leave behind for the upcoming youth of Nigeria.”
.new telegraph
