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| Speaker of House of Representatives |
The National Assembly, the House of Representatives on Wednesday agreed to investigate the N115 billion tax liabilities allegedly owed by Federal Government Ministries, Departments and Agencies.
The House also noted that many commercial banks defaulted in making remittances of Withholing Tax and Value Added Tax that they collected on behalf of the Federal Inland Revenue Service.
Lawmakers said non-remittance of taxes had negative implications for revenue generation and the country’s economy.
The motion calling for the probe was moved by a member from Rivers State, Mr. Jerome Amadi.
The lawmaker argued that a government desperately in search of revenue to fund a deficit budget could not afford to leave N115bn as unremitted tax.
He stated, “The recent allegation by the Revenue Mobilisation Allocation and Fiscal Commission that some MDAs are owing the Federal Government N115bn is such a serious issue that should not be allowed to be swept under the carpet, especially that those funds could have either been mismanaged or squandered by those agencies.”
Amadi also recalled how the Ag. Chairman of RMAFC, Mr. Kabir Mashi, was quoted on September 3 as saying that many banks that collected WHT and VAT on behalf of the FIRS refused to transfer the money to the tax agency.
The House, which was presided over by the Deputy Speaker, Mr. Yussuff Lasun, directed its Committees on Finance and Public Accounts to investigate the matter.
Specifically, the committees were asked to determine the amount outstanding against each MDA and “how long the amount has been withheld and make recommendations on how to prevent a re-occurrence of this illegality.”
A second motion the House passed was also related to revenue collection.
The House also noted that many commercial banks defaulted in making remittances of Withholing Tax and Value Added Tax that they collected on behalf of the Federal Inland Revenue Service.
Lawmakers said non-remittance of taxes had negative implications for revenue generation and the country’s economy.
The motion calling for the probe was moved by a member from Rivers State, Mr. Jerome Amadi.
The lawmaker argued that a government desperately in search of revenue to fund a deficit budget could not afford to leave N115bn as unremitted tax.
He stated, “The recent allegation by the Revenue Mobilisation Allocation and Fiscal Commission that some MDAs are owing the Federal Government N115bn is such a serious issue that should not be allowed to be swept under the carpet, especially that those funds could have either been mismanaged or squandered by those agencies.”
Amadi also recalled how the Ag. Chairman of RMAFC, Mr. Kabir Mashi, was quoted on September 3 as saying that many banks that collected WHT and VAT on behalf of the FIRS refused to transfer the money to the tax agency.
The House, which was presided over by the Deputy Speaker, Mr. Yussuff Lasun, directed its Committees on Finance and Public Accounts to investigate the matter.
Specifically, the committees were asked to determine the amount outstanding against each MDA and “how long the amount has been withheld and make recommendations on how to prevent a re-occurrence of this illegality.”
A second motion the House passed was also related to revenue collection.
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