Group urges expansion of tax net to check escalating debt service rate
Initiative for Leadership and Economic Watch in Nigeria (ILEWN) has called on the Federal Government to expand the nation’s revenue base by 30 per cent through tax collection to cushion the effects of debt servicing which has risen to 91 per cent.
Chairman of ILEWN, Splendour, Agbonkpolor who gave this advice in Abuja, explained that an increase in taxation will raise the nine per cent left over after debt servicing to about 39 per cent, which will trigger rapid growth of the nation.
According to him, the body has concluded plans to bring together economic experts to strategically drum up support for tax compliance awareness among citizens as well as x-ray areas of challenges and pattern practical ways of strengthening revenue generation in Nigeria.
“One of the key aspects of the event is tax revenue expansion, looking at more opportunities to grow the nation’s economy through tax collection, so that tax collected can continue to yield more profit for the nation.
“The programme aims to build citizens’ trust and confidence in government over the use of taxpayers’ monies for the nation’s economic development which we believe will stimulate more citizens’ participation in tax payment to government.
“Discussions are structured to pattern ways forward on how to improve tax remittance, proffer measures on how to reduce tax loopholes in order to cushion the effects of tax evasion, increase revenue generation for the nation, advocates for unified tax monitoring system and payment evaluation, to emplace robust tax management system in Nigeria and also advocate for informal sector taxation which will be an added advantage for government to generate more tax revenue as veritable opportunity to expand Nigeria’s tax base for economic growth.
“We believe that the outcome of the gathering will constitute sound policy formulation to stimulate excellence in tax management in Nigeria to engender national productivity.”