FCT-IRS

Abuja, Jan. 8, 2024: The Federal Capital Territory Internal Revenue Service (FCT-IRS), has urged Ministries, Departments and Agencies (MDAs), and other employers of labour in the FCT to file their 2023 returns before Jan. 31st.

The FCT-IRS Head of Corporate Communications, Mr Mustapha Sumaila, made the call in a statement made available to journalists in Abuja on Sunday.

Sumaila stressed that failure to file the returns within the stipulated period would attract sanction in accordance with the provisions of the law.

He said that the directive was in line with Section 41 of the Personal Income Tax Act (PITA), 2011 (as amended).

According to him, the Act mandates all employers of labour in the FCT to file annual returns before Jan. 31st of every year, using the prescribed forms – Form G and Form H1 respectively.

He also said that Sections 94, 95 and 96 of the Act equally stipulate penalties for non-filing, incorrect, false declaration, and late submission.

He added that the Service would not hesitate to enforce the laws on defaulters.

“Organisations that wish to file their returns online should visit www.fctirs.gov.ng and click on create account or click on login for those who already have accounts.

“The organisations should then proceed to any of the FCT-IRS offices to submit electronic copies of their returns.

“The forms are also available in the 15 offices in the FCT, including the FCT-IRS Headquarters for those who may want to file manually,” he said.

He urged all employers of labour, organisations, and other agents to file their returns before the Jan. 31 deadline, to avoid penalties for late filing or non-filing in accordance with the law.

Abuja, Dec. 21, 2023: The Federal Capital Territory Internal Revenue Service (FCT-IRS) is to deploy artificial intelligence to facilitate voluntary tax compliance in 2024 as it generated N301 billion in 2023.

The acting Executive Chairman of the service, Mr Haruna Abdullahi, made this known during the FCT-IRS end-of-year media briefing, in Abuja on Wednesday.

Abdullahi added that other technology solutions to be deployed include cloud computing, collaboration tools, business process automation and data analytical tools.

According to him, the goal is to improve performance of routine tasks, aimed at encouraging voluntary compliance and ease of doing business.

He explained that from inception, the emphasis has been on driving the Service using technology, adding that the Service has invested in modern working tools such as hardware and software.

“The Service will further employ the use of technology to enhance operations mainly in compliance, enforcement.

“We will also seek to consolidate the culture of transparency and accountability in order to build trust and cooperation between the service and the taxpayers.

“The processes of registration, payment, receipt, assessment, Tax Clearance Certificate (TCC) issuance, filing of returns, TCC verification, and generation of withholding tax credit notes have all been automated.

“Also, to encourage voluntary compliance and to allow taxpayers perform their tax obligations at the comfort of their homes or offices, the FCT-IRS introduced a Self-Service portal, www.fctirs.gov.ng.

“This enables taxpayers to request for Taxpayer Identification Number (TIN), file annual returns, make payment and request for TCC,” he said.

The acting chairman added that the Service would, in accordance with the tax laws, apply a penalty for non-filing of annual returns by January 31 of every year for employers and March 31 of every year for individuals.

According to him, part of the effort is to ensure compliance with filing of returns.

He added that a comprehensive reassessment of returns would be intensified, which would be followed by constant monitoring and compliance exercises.

He also said that to comply with the ease of doing business initiative, the Service would open more tax offices across the six Area Councils in FCT and at strategic locations.

This, he said, would ensure convenience of the taxpayers and further streamline services, making the tax offices accessible to a broader population and contributing to overall organisational growth.

“Additionally, a state of the art headquarters will be constructed, not only to provide for coordination of operations but also reflect our commitment to excellence.

“To attract and retain young talents, the Service will embark on providing targeted training programmes towards ensuring employees stay updated with industry trends.

“We will also be providing staff with modern working tools to foster efficiency and innovation,” he said.

Abdullahi disclosed that from January 2024, the Service would embark on intensive enforcement exercise in line with the provisions of extant laws.

He added that the Service would not only hesitate to prosecute tax offenders through the instrumentality of the law but would ensure that all tax due to FCT were recovered.

Meanwhile, it has generated N203.1 billion in from January to date and set N250 billion target for 2024.

Abdullahi explained that the tax revenue collection of the FCT-IRS grew from barely N46 billion in 2017 to over N124 billion in 2022 indicating over 270 per cent growth.

He added that as at Dec. 19, the service has generated N203.1 billion representing a 63.3 per cent increased from the N124 billion generated in 2022.

“I would like to inform the general public that as at Dec. 19, the FCT-IRS for the first time since its inception in 2015, has exceeded the N200 billion mark by generating the sum of N203.1 billion as annual revenue for the year 2023,” he said.

On the N250 billion 2024 target, the acting chairman expressed optimism that it would be realised and possibly surpassed the target.

Abdullahi added that the taxpayer base has equally grown from about 543,969 for individuals and 284,746 for non-individual in 2015 to 1.1 million for individuals and 389,981 for non-individuals in 2023.

He recalled that the Service commenced operation in 2015, with an interim Chairman, Secretary and 12 staff from FCT Administration and only one office located at Kaura District.

He added that currently, the Service has a staff strength of 623 spread across 17 offices within the FCT.

He also said that the FCT-IRS in collaboration with other sister agencies has commenced the enforcement of Section 85 of the Personal Income Tax Act, 2011 (as amended).

He equally said that Section 31 of the FCT-IRS Act, 2015 mandating government agencies, commercial banks, and corporate bodies to demand and verify TCC as recondition for rendering services was also being enforced.

He said that Service envisaged a growth stage from January 2024 to December 2028, with an annual revenue target of N500 billion.

To actualize the target, the acting chairman said that the Service would optimise the current revenue streams, operationalise non-performing tax types and strategic tax audit of individuals and non-individuals.

“The Service also intends to improve the taxpayer base through tax education, town hall meetings, media engagements, inter-agency collaboration within FCT Secretariat, Departments and Agencies and other key stakeholders.

“Some of the stakeholders include the Federal Inland Revenue Service, Joint Tax Board, tax practitioners, development partners and other professional bodies among others,” he said.

Abuja, June 3, 2023: The Federal Capital Territory Internal Revenue Service (FCT-IRS) in collaboration with Chartered Institute of Taxation of Nigeria (CITN) are training another batch of 200 personnel.

This is contained in statement by Mr Mustapha Sumaila

FCT-IRS Head of Corporate Communications in Abuja on Sunday.

Sumaila said the training , which was focused on Tax Audit and Investigation, was conducted in line with the mandate of the service.

According to him, FCT-IRS was established to ensure steady increase in revenue generation in the FCT, efforts.

The Acting Chairman FCT-IRS, Mr. Haruna Abdullahi, according to Sumaila said capacity building remained a priority.

Abdullahi said he would do everything possible to uphold it as it is one of the core objectives of the Service .

He said the training could not have come at a better time, adding that efforts were geared at harmonising of all revenues.

He further said all would be done to centralise collection to the FCT-IRS, stressing that there was need to have skilled and equipped workforce to drive the process.

The acting chairman said the training will bring the total of trained personnel to 400, adding that 200 personnel were trained in 2022.

Abdullahi said tax officials required technical and verbal skills to effectively audit and interact with taxpayers especially  high network individuals and politically exposed persons.

“The responsibility of the service is critical to the success of the FCT administration.

“As such, skillful tax men are needed to rapidly grow the tax net especially now that expectations are high on revenue generating agencies,”he said.

The Director, Human Capital Management and Development FCT-IRS, Mr. Umar Jada,   said the service would continue to partner with professional bodies like CITN.

He said FCT-IRS always prioritised training and retraining of staff to improve service delivery and achieve set goals and objectives of the service.

Abuja, June 28, 2023: The Federal Capital Territory Administration (FCTA) has unveiled a Strategic Plan for delegation of duties and responsibilities of revenue collection to the Federal Capital Territory-Internal Revenue Service (FCT-IRS).

Mr Adesola Olusade, Permanent Secretary in charge of FCTA, unveiled the plan during a stakeholders’ meeting in Abuja on Tuesday.

He disclosed that a Project Management approach was adopted to ensure the successful execution of the delegation.

According to him, the approach, known for its well-structured, organised, and systematic processes, will guide the FCT-IRS through the transition, adding that it would provide a clear roadmap for implementation.

Olusade said that part of the implementation structure was a Project Steering Committee (PSC), previously known as the Implementation Committee.

He explained that the committe would be chaired by the Permanent Secretary, FCTA.

He added that the committee will consist of the Chairman of FCT-IRS and Chairmen of the Area Councils, among others as members.

He noted that the policy decisions of the PSC would be implemented by the project implementation committee to be chaired by the Chairman, FCT-IRS.

“Membership of the committee would be constituted and conveyed by the chairman.

“The PSC, which comprises key stakeholders would provide strategic direction, make critical decisions and ensure that the project achieves its objectives.

“Accordingly, the Project Steering Committee will provide strategic direction, decision making, monitoring and oversight, risk management and communications among other functions,” he said.

Olusade explained that the decision to harmonise all revenues and centralise collection at the FCT-IRS was in the best interest of the territory and its people.

He further said that decision was the outcome of an extensive deliberation by relevant stakeholders.

This, he said, was part of a commitment to enhance the efficiency, transparency, and effectiveness of the territory’s revenue collection system.

He commended stakeholders for embracing the idea, and described it as a “point of no return” in the shared journey to promote sanity in revenue collection in the FCT.

In his remarks, FCT-IRS Acting Executive Chairman, Mr Haruna Abdullahi, said that the delegation of all revenue collection to a single entity was borne out of the resolutions of the “Akure Accord”.

Abdullahi said that the development marked a significant step toward creating a more business-friendly environment that would attract investment, stimulate growth, and create job opportunities.

He described the decision as “strategic” in ensuring efficient, transparent, and effective revenue collection system for a prosperous FCT.

According to him, the centralisation of revenue collection under the FCT-IRS will eliminate duplication of functions, reduce administrative cost, and streamline revenue collection processes.

“It will also ensure that all revenue collection activities are coordinated, thereby, reducing the potential for errors, saving cost, and preventing leakages.

“Also, accountability is guaranteed when a single entity is responsible for revenue collection, serving as a one-stop shop for all revenue transactions and audits.

“This will build taxpayers’ trust, encourage voluntary tax compliance, attract more businesses and investment needed to stimulate economic growth,” he said

The FCT-IRS boss added that the centralisation of revenue collection would promote efficient data collection and analysis for decision making.

He said that data would provide valuable insights into revenue trends, taxpayer behaviour, potential areas of improvement in the tax system and support accurate revenue forecasting.

“This will help the FCT to plan and make its budget more effective,” he said.

On his part, Mr. Danladi Chiya, Chairman of the FCT Association of Local Government of Nigeria, pledged the support of the association toward the success of the harmonisation project.

Chiya promised that the six Area Councils’ Chairmen would work to ensure that FCT-IRS succeeds.

The FCT Internal Revenue Service (FCT-IRS) has given organisations with expatriates in their employ not later than May 31 to submit their details.

Head, Corporate Communications at the FCT-IRS, Mr Mustapha Sumaila, stated on Sunday in Abuja that the submission of the details was compulsory and should be taken seriously.

He added that the directive followed a resolution reached between the Economic Planning, Revenue Generation and Public Private Partnership and the FCT-IRS.

“Companies and organisations with foreign nationals working in the FCT are requested to forward details of the expatriates to the FCT-IRS for proper documentation,’’ he stated.

Sumaila stressed that the resolution was in continuation of an on-going effort to harmonise and enhance internally-generated revenue in the FCT.

The Federal Capital Territory Internal Revenue Service (FCT-IRS), is collaborating with the Nigerian Financial Intelligence Unit (NFIU) as part of efforts to exceed its N200 billion target for 2022.

Mr Mustapha Sumaila, Head, Corporate Communications, FCT-IRS said this in a statement on Wednesday in Abuja.

Sumaila said the Acting Executive Chairman, FCT- IRS, Mr Haruna Abdullahi said this at a one-day retreat organised for members of staff of both organisations in Abuja.

According to Abdullahi, the partnership is timely.

Abdullahi said the partnership was timely because the service was working to broaden its tax base with a view to boosting revenue generation.

“The FCT has potential and we must do everything to harness these opportunities for the territory in terms of revenue collection.

“Abuja being the capital city, is a place where most important people live, so we must take that advantage.

“FCT-IRS alone can generate from N200 billion to N300 billion and probably N400 billion in the near future.

“I strongly believe our engagement with NFIU, will increase our tax payers base.

“States are in a very tight fiscal position because monies are not coming as they ought to.

“So, there has to be some level of creativity in states and of course Abuja here, to fund so many projects,” he said.

The FCT-IRS boss decried low tax Gross Domestic Product (GDP) ratio in the country.

He said Nigeria was among the countries with the lowest tax GDP ratio in Africa at six per cent while the average in Africa was 18 per cent.

Abdullahi said the service had embarked on various reforms and initiatives to ensure people filed their tax returns and pay their taxes appropriately.

In his remarks, Mr Babagana Bashir, the Associate Director, NFIU , expressed delight over the mutually beneficial collaboration.

He said the FCT-IRS being an IRS for the nation’s capital, already had an advantage that must be leveraged upon.

Bashir pledged to support the service to enhance its operations with a view to increasing revenue collection in the territory.

“Interestingly, this is the first time NFIU is having an engagement with a state revenue collector.

“So, as a state IRS for FCT that has dual capacity of a state and federal, you have taken the lead and moved ahead of other states.

“The essence of this retreat is to examine the best way to operationalise the content of the Memorandum of Understanding(MoU) with the FCT-IRS.

“What we have done with the MoU is to point out in details and specifics the areas we are going to collaborate.

The statement noted that both organisations presented detailed papers which mapped out their mandates, powers and limitations.

The papers according to the statement also detailed ways of strengthening the partnership for the development of the FCT and the country at large.