FCT IRS Rakes in N203.1bn in 2023

Olawale Ajimotokan in Abuja

The Federal Capital Territory Internal Revenue Service FCT-IRS has declared the generation of over N2023 billion in the year 2023, an increase over the N124 billion last year.
The Acting Executive Chairman of the Service, Haruna Abdullahi disclosed this Wednesday in Abuja. Haruna also projected the Service to generate N250 billion in 2024.
“The Tax Revenue Collection of the FCT-IRS grew from barely N46 billion in 2017 to over N124 billion in 2022 indicating over 270 per cent growth. At this point, I would like to inform the general public that as at 19th December 2023, the FCT-IRS for the first time since its inception in 2015 has exceeded the N200 billion mark by generating the sum of N203,147,090,410.5 as annual revenue for the year 2023. This is a huge milestone for the Service and it represents about 63.34 percent increase in collection from the preceding year.
“For the year 2024, FCT-IRS has a target of N250 billion, we are determined and optimistic that we will realise and surpass that, with the committed and dedicated staff of the Service, support from the FCT Administration, the National Assembly and other key stakeholders especially our esteemed taxpayers, it is achievable and the task ahead is surmountable”.
The FCT IRS boss said the taxpayer base of the FCT had grown from about 543,969 for individuals and 284,746 for non-individuals in 2015 to 1,108,162 for individuals and 389,981 for non-individuals in 2023.
“In collaboration with other sister agencies in the FCT, the FCT-IRS has commenced enforcement of Section 85 of the Personal Income Tax Act, 2011 (as amended) and Section 31 of the FCT IRS Act, 2015 for MDAs, FCT SDAs, Commercial Banks, and other Corporate bodies to demand and verify TCC as precondition for rendering services in FCT”, he stated.
He stated that the Service had also invested in modern working tools such as hardware and software, adding that the processes of registration, payment, receipting, assessment, Tax Clearance Certificate (TCC) issuance, filing of returns, TCC verification, and generation of withholding tax credit note have all been automated.
“As part of our efforts to ensure compliance with filing of returns, the Service will in accordance with the tax laws apply penalty for non-filing of annual returns by 31st January of every year for employers and 31st March of every year for individuals. A comprehensive reassessment of returns will be intensified, which will be followed by constant monitoring and compliance exercises.

“The Service will further employ the use of technology to enhance its operations mainly in the area of compliance, enforcement and also seek to consolidate the culture of transparency and accountability in order to build trust and cooperation between the service and the taxpayers. The focus will be in the deployment of artificial intelligence, cloud computing, collaboration tools, business process automation and data analytical tools to facilitate compliance and performance of routine tasks aimed at encouraging voluntary compliance and ease of doing business,” he said.

Abdulahi said that from January 2024, the Service would embark on intensive enforcement exercise by ensuring that all relevant provisions of the tax laws were strictly complied with accordingly.
He underlined section 32 of FCT-IRS Act, 2015 which empowers the Chairman of the Service to authorize any officer of the Service to have free access to properties and records of taxpayers for the purpose of compliance with the tax laws.
He vowed that the Service will not only hesitate to prosecute tax offenders through the instrumentality of the law but will ensure that all tax due to FCT are recovered.