The Senate’s Committee on Finance expressed concern over the N17 trillion loss from tax waivers over the past five years, urging the Federal Inland Revenue Service (FIRS) to suspend them and consider implementing a rebating system instead.
The FIRS Chairman, Mr. Zacch Adedeji, projected a N19.4 trillion total tax collection for 2024 and opposed the fresh N2.7 trillion tax credit for road construction by the Central Bank of Nigeria (CBN).
The Chairman of the committee, Senator Sani Musa, emphasised the need to address tax waiver abuse, suggesting potential revenue gains up to N30 trillion with effective measures.
Additionally, FIRS aims to reduce 62 different taxes to eight in collaboration with President Bola Tinubu’s committee to streamline taxation.
Mr. Adedeji also insisted on exhausting the N2.5 trillion allocated to the tax credit scheme before considering further allocations.
