On-going Reforms Are Addressing Challenges In Revenue Collection : Anambra Commissioner For Finance

The Commissioner for Finance in Anambra State, Hon. Izuchukwu Okafor, says the Tax for Service campaign is a welcome development because the citizens deserve to get value for their taxes, fees and levies paid the government for public services.

Angel Network News (ANN) reports that
the Commissioner made the remark during an advocacy visit by Tax Justice and Governance Platform, (TJ&GP), led by the Executive Director of Social and Integral Development Centre, (SIDEC), the organization implementing the Tax for Service Project, in partnership with the Civil Society Legislative Advocacy Centre, (CISLAC) funded by Oxfam Nigeria.

Hon. Okafor explained that the government is taking deliberate steps towards addressing issues that have undermined compliance in the past including digitizing the entire revenue collection process to avoid cash transactions.

“There is need for intensive sensitization for people to understand that tax is a civic responsibility and failure to pay is an offence against the state. We also need organizations like yours to help us enlighten the people to understand the reforms being carried out to sanitize the revenue collection system in the state.

“As I speak to you, tax collection system is currently undergoing intense innovative reforms. We are digitalizing everything and also looking at the legal frameworks. No more manual collection of IGR and anyone that collects tax in cash is not from the government.

“This policy will help avoid double or multiple taxation. For instance, if you pay for haulage in Onitsha going to Aguata, you are not pay the same purpose when you get to Aguata”.

“When we finish implementing the reforms, Anambra’s Internally Generated Revenue (IGR) will improve. It’s a work in progress and the present government is committed.

“Mr Governor has directed that kobo paid to Anambra State government as tax must be accounted for and you can see that the administration of Governor Soludo is giving the people value for their money (taxes), with massive infrastructural developments going on across the state. Government is doing these works in partnership with ndi Anambra, who pay their taxes, levies and fees.

The Commissioner acknowledged that markets offer the state a comparative advantage, which the government is poised to explore to improve its IGR profile. “We generate some significant portion of the revenue from traders so the litany of demands from them is expected,” the Finance Commissioner said.

Earlier, the Executive Director, Social and Integral Development Centre, (SIDEC), host of TJ&GP, Ugochi Ehiahuruike, explained that the visit was to share the findings of the study conducted across 21 major markets and the needs of the markets with the Commissioner, under whose ministry the state Internal Revenue Service operates.

“The objective of this meeting is to share and present our findings and report to the Ministry of Finance, so that the necessary interventions will be done. Some of those traders don’t know the appropriate quarters to take their needs. We have identified the need for us to train the market leaders so that we can bridge that gap between tax payers and the government.

“Before the inception of this project, the total IGR amount of the states was revolving around 3.2 billion per month. But, after a while, the state is able to generate 4.7 billion per month.

“We believe that our awareness creation efforts also contributed to that. We will be able to achieve our expected goal when we are able to get more people to pay their taxes. And one major way to achieve that is to invest part of money generated from traders in those markets. They have myriads of needs for which they look up to the government.

In a remark, a media consultant and member, Tax Justice and Governance Platform, Alfred Ajayi, stated that tax payment is an obligation of every citizen, but that if the needs of the market is done, the trader will be motivated to comply.

Ajayi listed some of the needs of the markets. “At Eke-Awka market in Awka, traders are yearning for fire trucks, solar lights, boreholes, while Electrical Parts Market, Obosi needs fire trucks, boreholes, modern toilet facilities. International Building Material Market, Ogidi is also in need of fire trucks, solar lights, CCTV, and VIP toilets.

“In Anambra North senatorial district, Onitsha main market needs solar lights, modern toilet facilities, CCTV cameras, some roads within and around the market. For Ogbaru Relief Market, they are in need of borehole, fire truck, concrete floor, roads within the markets.

“In Anambra South, Building Material Market, Nnewi is in need of modern toilet facilities, borehole, and solar lights. Ekwulobia is asking for security van, solar lights, borehole, roads within and around that the new market.

“While it remains a civic obligation to pay taxes, attention to those needs will spur traders to pay more and it will save government the huge amount it spends on enforcement”.

A don and member of TJ&GP, Prof. Dennis Aribodor, called for productive synergy between relevant government MDAs, NGOs and the citizens with marked by the goal to encourage voluntary compliance across the state.

“We are dealing with human beings and it’s important we carry them along while making policies,” the Varsity teacher submitted.