Hard times strategies in Kwara

Date: 2016-02-16

The Kwara State government is bent on weaning its economic base off the apron strings of the dwindling federal allocation. As a result, the state inaugurated its rebranded Internal Revenue Service (KWIRS). But it is not just about giving it another; it is about firming it up to ensure robust, efficient and effective tax collection.

"Today, we take concrete steps towards making Kwara State more economically sustainable and financially viable amidst the challenges of a turbulent national economy," Governor Abdulfatah Ahmed said at the inauguration of the service head office otherwise known as Revenue House in Ilorin, the state capital.

"This event demonstrates our commitment to creating a diverse and solid revenue base for the state. It also underlines our resolve to continually meet our obligations and insulate our economy from the instability of global oil market."

Alhaji Ahmed said the state has the potential to generate N60 billion in revenue annually. The governor added, saying that from available records, the state loses N5 billion annually from its IGR due to leakages and inefficiencies.

He said that KWIRS has been mandated to mobilise revenue, block leakages and expand the state's revenue base with a monthly target of N5 billion. "This is a significant increase from the N800m we used to generate," he said. "Indeed, some people are of the opinion that this target is unrealistic. I disagree. Kwara State, I am convinced, has the population, commerce, resources and opportunities necessary for achieving that target of N60 billion annually.

"Let me also add that a desk review of the previous revenue collection process showed we were losing about N5 billion annually due to inefficiencies and leakages. "Therefore, through the newly established KWIRS we intend to plug loopholes in our revenue collection system and ensure that all revenues accruable to the state government are remitted accurately and promptly.

"Our goal is to ensure that Kwara State is economically viable and self-sufficient, rising from our current position to achieve the second highest IGR per capita in Nigeria by 2019." The governor added that: "The recent fall in global crude oil prices has led to a significant decrease in the funds available for distribution to federal, state and local governments from the federation Account.

"In our case, monthly allocation has dropped from an average N3.4 billion to N1.4 billion monthly, leading to a N1 billion deficit in recurrent expenditure every month and leaving little for infrastructure. Yet, the state government requires N2.4 billion for workers' salary alone.

The truth is no state can lay claim to self-sufficiency or deliver the required social good for citizens without an effective tax system.

"Moreover, in our commitment towards ensuring proper distribution of social amenities to our people, I am pleased to inform you that the state government is introducing the Kwara Resident Identification Number (KRIN) today. This is a unique number allocated to all residents to enable them access government services while also serving as a form of identification."

He warned that "anyone who evades or avoids tax is breaking the law and will be punished according to those laws if found guilty. Also, anybody found obstructing the work of KWIRS will be dealt with appropriately.

The governor added that "I solicit the support of all stakeholders in Kwara State towards the implementation of this new IGR drive as it will save the state from financial crisis and assist the government to further meet its obligations to the people. Let me also use this opportunity to reassure the people of Kwara state that KWIRS was not established to impose fresh taxes.

Rather, its mandate is to make revenue collection and management more efficient. I urge all businesses and individuals in the state to perform their civic duty by paying their taxes. "We cannot aim for tax-driven prosperity and economic advancement while refusing to fulfil the obligations that create those standards we aspire towards."

"This administration had long envisaged that the global search for alternative sources of energy would lead to a possible drop in oil prices with the consequent multiplier effect on government revenues.

"As a proactive government, we repositioned ourselves to focus on ways to increase our IGR as far back as 2013. One of the strategies we identified was to restructure our revenue collection system.

Earlier, the Chairman of KWIRS, Dr Muritala Awodun said, "We have chosen to systematically move our revenue journey from the locomotive train that has dragged it from about N100m monthly to N600m monthly between 2003 and 2010, and to about N850m in 2014. As we embark on the journey we ask that you tighten your belt and enjoy your flight as we coast on the journey of a monthly average of N1 billion collection in the first quarter, N1.5 billion monthly in the second quarter, N2 billion to N2.5 billion monthly in the third quarter and N3 billion monthly by the fourth quarter of 2016 with a total collection target of N24 billion for the year 2016."

Source

 

Cloud Tag: What's trending

Click on a word/phrase to read more about it.

Amusement Park     Obasanjo     Rafiu Olasile     Omotosho     Olatunji Abdulmumeen     SSA Youth     Bisi Kristien     Siddiq Adebayo Idowu Salawu     Tricycle Owners Association Of Nigeria     Abdulwasiu Bolaji Adeyi     SWAN     Mohammed Saidu     Students Union Government     Shehu Salau     Kulende-UITH     Lithium     Omoniyi Ayinla     Saka Aleshinloye     Tunji Oyawoye     Islamic Development Bank     Teachers Specific Allowance     Sebastine Obasi     Muslimah Entrepreneurship Forum     The Herald     Abdulrahman Abdullahi Kayode     Durbar     Shehu Raheem Adaramaja     Adekunle David Dunmade     Baboko     Wasiu Onidugbe     Nagode     Gbenga Adebayo     ITEM 7     Kwara State Fire Service     Pategi     Isaac Gbenle     Nnazua     Ganiyu Abolarin     Chartered Institute Of Personnel Management Of Nigeria     Saka Adeyemo     Elerin Of Adanla Irese     Sulyman Buhari     Oba Abdulrahim     Aliyu Muhammed     Bello Abubakar     Wasiu Odewale     Suleiman Ajadi     Idowu Laro     Issa Oloruntogun     Amos Sayo     Tafida Of Kaiama     Amina Susa\'a De Ahmed     Alabe     Abdullahi AbdulMajeed     TETFUND     Elerin Of Erin-Ile     Olusola Saraki     Mashood Abdulrafiu Agboola     Tescom.kwarastate.gov.ng     Olatinwo     Y.A. Abdulkareem     Senior Ibrahim Suleiman     Lasiele Alabi Yahaya     Mutawali Of Ilorin     Odo-Owa     SDP     Doyin Awoyale     Hassan Taiye Salam     Bola Sagaya     Royal FM     Abubakar Lah     Fatimoh Lawal     Simon Sayomi     Colleges Of Education Academic Staff Union     Abdulkadir Orire     Cassava Growers\' Association     New Model Police Station    

Cloud Tag: What's trending

Click on a word/phrase to read more about it.

Olusin Of Ijara Isin     Eleja Taiwo Banu     Paul Odama     Lasiele Alabi Yahaya     Marafan Shonga     Aliyu Adebayo     Albert Ogunsola     ER-KANG Mining     Nnazua     Maryam A. Garuba     KWACOBPA     Agbarigidoma     James Ayeni     Kaiama     Abdulwaheed Musa     Noah Yusuf     Okin Biscuits     Unicontinental Construction Company     UNILORIN Alumni Association     Funke Adedoyin     Sa\'adu Gambari     Afetu Of Alabe     TESCOM 2025     Erin-ile     Tunde Idiagbon Road     Col. Ibrahim Taiwo     Maigida Soludero Transit     Sango-UITH Road     Wasiu Odewale     Guber Aspirant     Tuesday Assayomo     Eleja     Eruku     Kwabes     Is\'haq Modibbo Kawu     TETFUND     Sherif Shagaya     SGBN     Isiaka AbdulRazaq     Omu-aran     Ilorin Curfew     Gbenga Olawepo     Igbomina     Tanke Road     Abdulkadir Remi Hawawu     Durosinlohun Atiku     Abdul Jimoh Mohammed     Oba Sulaiman Asude     Lola Olabayo     Sardauna     Michael Nzwekwe     Siddiq Adebayo Idowu Salawu     Federal Allocation     Fatimoh Lawal     Baaziki Sulaiman     Baba Isale     Ubandawaki     Raliat AbdulRazaq     Olaoye B. Felix     Garba Ado Sanni     Kale Ayo     AbdulHakeem Ajibola Akanbi     Allocation     Femi Ogunsola     Amusa Bello     Abdulraheem Yusuf     Garuba Alikinla Shittu     Bashir Badawi     11th Galadima     Special Agro-Industrial Hub     Popo-Igbonna     Bello Oyebanji     Gobirawa     Ghali Alaaya     Funmilayo Mohammed     Salmon Babatunde Salmon     Jamiu Oyawoye