The Federal Inland Revenue Service (FIRS) and the Office of the Accountant-General of the Federation (OAGF) have launched a joint initiative to curb persistent revenue leakages arising from lapses in tax compliance by Ministries, Departments, and Agencies (MDAs).
These lapses, primarily in the areas of withholding tax deductions, Value Added Tax (VAT) remittances, and stamp duty administration, have raised concerns at the highest levels of government.
Speaking at a two-day stakeholders’ engagement in Abuja, Executive Chairman of the FIRS, Dr. Zacch Adedeji, underscored the urgency of addressing these compliance gaps. He noted that despite the deployment of advanced systems like the Government Integrated Financial Management Information System (GIFMIS) and the FIRS TaxPro MAX platform, many MDAs continue to default on their statutory tax remittances.
“These deficiencies, often driven by technical limitations and a lack of awareness, contribute to significant revenue losses and recurring audit flags,” Adedeji said. “When public institutions comply with tax laws, it sends a clear message that no one is above the law.”
He emphasized the importance of the OAGF as a strategic partner in strengthening financial controls and ensuring timely disbursements. A stronger partnership between the two agencies, he said, is essential to achieving improved revenue performance and fiscal discipline across government entities.
Describing the workshop as a “collaborative platform,” Dr. Adedeji said it offered an opportunity to co-design practical solutions aimed at improving efficiency and fostering a more technology-driven compliance culture. Participants explored key topics, including the FIRS 2025 Strategic Roadmap, VAT and withholding tax administration, stamp duty processes, and the use of GIFMIS to close remittance gaps.
A central focus of the discussions was the enhanced capabilities of the TaxPro MAX platform, which supports real-time remittance tracking and data reconciliation. This tool is expected to play a critical role in eliminating human error and reducing procedural oversights in tax reporting.
Looking ahead, the FIRS Chairman outlined several follow-up actions that will be key to sustaining the momentum of the initiative:
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Deepening institutional collaboration between FIRS and OAGF;
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Establishing formal reporting and escalation pathways for non-compliance;
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Embedding tax compliance modules into the training of public finance officers;
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Implementing robust feedback mechanisms to continuously improve the GIFMIS and TaxPro MAX platforms.
On his part, the Accountant-General of the Federation described taxation as the cornerstone of a functioning economy. He called for greater transparency, accountability, and digital integration to improve compliance outcomes and drive sustainable revenue growth.
“This engagement presents a strategic opportunity to align our efforts and address long-standing challenges in tax administration,” he said, adding that effective coordination between FIRS and OAGF is vital to the realisation of President Bola Tinubu’s ambition of building a $1 trillion economy by 2030.
“In working together, we can build a stronger, more transparent tax system that underpins economic transformation and delivers tangible benefits to all Nigerians,” he concluded.
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