The Federal Inland Revenue Service (FIRS) has declared it collected a total of N5.32 trillion from taxes in 2018.
A statement from the FIRS said its Executive Chairman Tunde Fowler made the announcement in Lagos on Monday at a retreat with the theme: “Parliamentary support for effective taxation of the digital economy”.
He also stated the agency is targeting N8 trillion for 2019.
Fowler said, “The N5.320 trillion collection is the highest revenue ever generated by FIRS in history.
“The highest in FIRS was N5.07 trillion generated in 2012. FIRS’ generation of N5.3 trillion is significant as it was at a period when oil prices averaged $70 per barrel.
“Oil price was at an average of $100 to $120 per barrel between 2010 and 2013.
“Non-Oil component of the N5.320 trillion is N2.467 trillion (53.62 per cent) while oil element of the collection is N2.852 trillion (46.38 per cent).
“From audit alone, FIRS collected N212.792 billion from 2278 cases with a huge reduction in audit circle.
“While we have been steadily increasing revenue collection over the years, our cost of collection has actually been going down.
“In 2016 we collected N3.307 trillion, in 2017 we collected N4.027 trillion and in 2018 we collected N5.320 trillion.
“Meanwhile, the cost of collection as a percentage of actual taxes collected has been reducing; in 2016 it was 2.6%, in 2017 it was 2.49% while in 2018 it was 2.14%,” he said.
The agency, he said, “has been making tremendous efforts in also increasing the amount of non-oil revenue it collects.
“Non-oil collection has contributed 64.99% in 2016, in 2017 it contributed 62.25% and in 2018 it contributed 53.62%.
“This represents the government’s focus on increasing non-oil sources of revenue and the diversification of the Nigerian economy.”
To achieve this feat, the FIRS boss also stated various initiatives were implemented by FIRS to enhance tax administration and make taxation as easy as possible.
Some of these innovations, he said, include FIRS deploying ICT initiatives that will enable a taxpayer to pay taxes from anywhere in the world, at any time.
“With the e-payment channel one can pay taxes with the click of a button and one can also download their receipts.
“Other e-Services are the e-Registration, e-Filing, -Stamp Duty and e-Tax Clearance Certificate.”