Tax Evasion: Don urges FG to simplify tax administration, end corruption in the sector
By Oswald Agwu
The federal government has been advised to embark on a comprehensive overhaul of its tax system inorder to avert rising tax evasions which have continued to deplete the county’s revenue.
The admonition was contained in a public lecture delivered by Professor Friday Ndubuisi Nwankwo of the University of Lagos.
The lecture titled ‘Tax Evasion and Promotion of Public Goods,’ was delivered during his presentation at the 2nd National Tax Conference which held in Lagos on Tuesday.
The University Don urged the government to simplify the complexity of tax Administration and reduce the tax burden on individuals and businesses, adding that a more straightforward tax system, complemented by reasonable tax rates, can serve as an incentive for tax compliance.
He observed that enhancing the capacity and integrity of tax authorities is paramount in Strengthening tax enforcement which can be achieved through improved training and motivation of tax officials, coupled with the adoption of technology-driven enforcement measures to reduce evasion.
He further prescribed the integration and formalization of the informal sector by providing incentives for registration and compliance.
That, according to him, would enhance broader tax base which will not only reduce revenue leakages but also ensure a fairer distribution of the tax burden.
Identifying corruption on the part of tax authorities as part of factors favouring tax evasion in Nigeria, Nwankwo stressed that implementing stringent anti-corruption measures within the tax administration and across all government sectors were critical to eliminating corrupt practices that enable tax evasion.
Nwankwo added: “Promoting tax education and awareness campaigns can help shift the culture of tax evasion by educating citizens about their tax obligations and conveying the benefits of tax compliance.”
The Don further admonished the government to ensure that tax revenues realized from citizens are employed in the provision of basic amenities and essential services for them as a matter of obligation on the part of government.
“While it is just and right for the citizenry to live up to their civic responsibility, it is also imperative that the government discharges its moral and legal obligations to the people” Nwankwo stressed.
•Photo Caption: (L-R) Chief Blakey Ijezie, FCA, Chief Host; Prof. Friday Ndubuisi, Guest Speaker; Pastor Felix Jarikre, Guest Speaker; Otunba Ranti Omole, FCA, Chairman of the 2nd edition of the National Tax Conference; Otunba Kenneth Odusanya, FCA, Chairman of the maiden edition of the National Tax Conference on Tuesday December 12, 2023. The National Tax Conference was powered by Blakey Ijezie Foundation, the Corporate Social Responsibility (CSR) arm of Okwudili Ijezie & Co. (Chartered Accountants) … since January 1, 1994.
