FG approves N1.5bn advert bill to drive $1bn tax revenue

In pursuit of its vision to diversify the economy and discourage Nigeria’s reliance on oil as the mainstay of the economy, the Federal Executive Council (FEC) Wednesday approved N1.5 billion to drive projected $1 billion tax revenue within nine months. 

The Minister of Finance, Mrs. Kemi Adeosun, who made this disclosure while briefing State House correspondents at the end of yesterday’s weekly FEC meeting, said the N1.5 billion is meant to run advertisement campaigns intended to promote Voluntary Assets and Income Declaration Scheme (VAIDS). VAIDS, according to the Ministry of Finance, is a platform designed to provide tax payers with the opportunity to regularise their tax payments in relation to their previous payments. Adeosun who said so far, the scheme had helped the federal government to generate $110 million revenue from only two companies, said from the responses received so far, there are expectations that the $1 billion tax revenue target might be exceeded. 

“On the amount expected, we projected $1 billion and we have already gotten $110 million and that is just from two companies. So, we feel we might exceed that target,” she said. According to her, 500 letters had so far been sent out to 500 persons following information obtained about their assets through the bank verification number (BVN), land registry, Corporate Affairs Commission (CAC) and the Federal Capital Territory (FCT). The minister who said thousands others are being targeted through the scheme, added that the responses to the 500 letters sent out so far had been encouraging, pointing out that the output of the scheme will stabilise Nigerian revenue irrespective of what the price of oil may be in future. “On the criteria adopted to get the first 500, what we have done is we got information on land registry details from the state governments and the FCT. We got information from the BVN, registration from the Corporate Affairs Commission (CAC) and we began to match them. “

From that, we could see the linkages. So, if someone lives in Lagos and has properties in Kaduna, London etc., but only declaring part, with this information, we‘ll get them. We also look at people who had come out in the Panama and Paradise papers. 

We look at people who have companies being paid by the government but are not paying the right taxes. Even if you have not gotten a letter yet, do not think we have forgotten you. These are just the first 500. Others will soon follow. It does not mean that we do not have you in our radar. For now, we are looking for the high risk people,” she explained. 

(ThisDay)