ICAN suggests strategies to boost Nigeria’s revenue drive

By Muhammad Muhammad

The Institute Chartered Accountant of Nigeria (ICAN) has urged the Federal government to take advantage of multi-billion dollars revenue drive in the non-oil sector to crush the economic burden presently facing the country.

Besides, ICAN believed that despite the prevailing financial squeeze Nigeria is forced to cope with owing to gross insufficient revenue generation from the oil sector, the country possesses all its need to generate revenue outside the over-dependent oil sector.

Chairman, Kano/Jigawa District Society of ICAN, Dr Abubakar Umar Faruq who made the submission during a virtual meeting with the Office of the Accountant General of the Federation AGF, explained that Nigeria economy is sustainable through alternative revenue drive.

Dr Abubakar said the virtual meeting organized to officially present recommendations on “Initiatives for Broadening Nigeria’s Non-oil Revenue Base”, is an outcome of research work funded by the office of the AGF.

The ICAN chairman who suggested enhancing Nigeria’s tax drive strategy through ” Digital Transactions, Mining Exploration and Blue Economy Activities “, expressed worries that the nation is losing several billions of dollars revenue base to the three virgin areas.

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He however regretted that despite the low performance, less than 40 percent of Nigeria population are positively responsive to tax remittance.

According to him, ” It is believed that the country is losing multi-billion dollars revenue due to its failure to efficiently utilize opportunities presented by other sectors of the economy. We have abundant natural resources deposit. Mining is a very huge revenue drive we are yet to tap into.

” For instance, taxing digital transactions is one of the rapidly evolving areas of international taxation making huge revenue drive. Take a look at cyberspace marketing, millions of Nigeria use and transact businesses on Facebook, Google, Twitter, Instagram and other social networks.

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” Nigeria is not benefitting anything from these transactions. This is a wasted opportunity we suggested the Federal government must rise and make useful advantage from. Also, Nigeria is also blessed with the Atlantic Ocean, lake Chad, Irrigation and viability involving in it. Nigeria is yet to explore the avalanche economic drive in the blue economy”.

” Digital businesses are growing with increased internet and mobile penetration. It shapes a new type of economy, meaning that not only businesses but also countries should adopt a new global economy. In 2016, the digital transactions was estimated to have worth about $11.5 trillion, equivalent to 15.5 percent of the world’s overall GDP”.

A director in the office of AGF, Mr Alex Adeyemi who represented the Accountant General of the Federation, Alh. Ahmed Idris applauded the research work and recommendations.

Mr Alex who reaffirmed the commitment of the Federal government to diversify the nation’s economy and exploring new drives to boost revenue generation,  reassured that government will digest the recommendations for the overall good of the nation

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