FIRS tasks state revenue boards on organising informal sector
The Federal Inland Revenue Service (FIRS) has tasked its counterparts at the state level to devise ways of organising the informal sector in their local economies.
Speaking at the 157th Joint Tax Board meeting comprising 36 state revenue services in Ibadan, Oyo State, FIRS executive chairperson Zacch Adedeji told the participants it was imperative to have proper data of informal sector operators in their states.
Adedeji spoke on the theme: “Taxation of the Informal Sector: Potentials and Challenges”, whereby he stated that small businesses would be protected to thrive.
The FIRS chief said with reliable data it would be easier to realise President Bola Tinubu’s directive to protect informal businesses, instead of burdening them with taxes.
“President Bola Tinubu has said the focus should be on taxing the fruits and not the seeds so that we don’t kill what people have invested in businesses,” Adedeji was quoted as saying, per a statement released by his technical assistant on media, Sikiru Akinola.
He noted the change in national employment data index, attributing it to the National Bureau of Statistics inclusion of the informal sector in its analysis.
Adedeji, also in his speech, noted the impending transition of the Joint Tax Board to the Joint Revenue Board, per the Joint Revenue (Establishment) Board bill. The bill is expected to be passed into law soon.
The bill, one of the four executive tax reform bills, will effectively coordinate federal and state tax collections and associated matters.
In his remarks, Oyo State Governor Seyi Makinde, who hosted the meeting, said tax should be applied humanely.
“We must not only be strategic but also humane in our approach. The goal should not only be to increase revenue but to support and empower those within the informal economy so they can thrive and contribute meaningfully.
“Our administration is committed to balancing fiscal responsibility with inclusive economic growth. Our recent initiatives have improved our revenue generation drive,” Makinde said.
