The Federal Inland Revenue Service (FIRS) has announced a revenue collection for ₦4.9 trillion for the year 2020.
The figure represents approximately 98% of the national tax target of N5.076 trillion set for the agency by the Federal Government.
Speaking during a press conference in Abuja, FIRS Chairman, Muhammad Nami listed key sectors such as the banking, telecommunications and the ICT as major contributors to the feat.
“The conscientious taxpayers in the country and dedicated members of staff of the FIRS nationwide for their support and devotion to work which made this performance possible despite the numerous obstacles encountered by the Service in 2020,” Nami said.
“The FIRS is optimistic this current fiscal year 2021 will be better than in 2020. We shall perform exceedingly well given that our Service reforms are expected to yield greater dividends, especially as different parts of tax administration are being automated.
“We are also optimistic that exploration activities will improve in the oil sector and increase the prospect of higher tax revenue from the sector.
“Similarly, the ongoing reforms by the Service together with increased stakeholder collaborations will brighten the prospect of improved voluntary compliance and consequently higher tax revenue generation for the country this year and beyond.”
He said that the near 100% collection feat was all the more remarkable when placed against the backdrop of the debilitating effects of COVID-19 on the Nigerian economy.
Figures released by the service showed that the non-oil tax collection was 109% in 2020, which is 9% higher than the previous year.