The Federal Government has expressed its readiness to look into issues of multiple taxation, revenue challenges and to boost ease of doing business in the Federal Capital Territory.
The Minister, Federal Capital Territory, Malam Muhammad Bello, spoke during a retreat in Lagos with the theme, ‘Towards a harmonised revenue management framework in the FCT’.
“We are all aware of the challenges associated with claims over rights of revenue collection in the FCT and attendant issues of multipletaxation, and this greatly impacts adversely on our ease of doing business because it erodes confidence and builds discouragement instead of the other way round,” he said.
According to him, there was need to work out a mutually acceptable mechanism that was foolproof, such that could block all loopholes in the collection of its huge revenue resources.
The minister, who was represented by Permanent Secretary, FCTA, Mr Olusade Adesola, said that available statistics revealed that Lagos State topped the 36 States and the FCT with the highest IGR in 2020, generating not less than N418.99bn, and also got the highest per capita of N31,794.
Speaking on the FCT, the minister said, “Our IGR in terms of per capita last year actually placed us next to Lagos, ahead of Rivers State with N24,600 per person, judging from FCT’s population estimates of 2006 census, inclusive of the five per cent growth rate between 2016 and 2020. Rivers State places third with IGR per capita of N15,281.
“However, in terms of total amount of IGR, FCT generated little over N92bn and was ranked third behind Rivers State, who realised N117.19bn.”
While noting that the FCT was not fairing badly, he said it was still performing far below its set expectations in terms of revenue generation.
The Executive Chairman, Federal Capital Territory Internal Revenue Service, Abdullahi Attah, said while the FCT was now only behind Lagos and River States in IGR, it was optimistic that it could continue on this growth trajectory.
“We will however only be able to achieve this vision if we are able to put in place a framework that enables us to work together seamlessly in the FCT,” he stated.