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.

Ibrahim Sulu Gambari     Abdulsalam A. Yusuf     Muslim Stakeholders Of Kwara State     Oko     General Hospital, Offa     Niyi Osundare     Razaq Atunwa     Ramadan     Hikmah AbdulKareem     Congress For National Consensus     Ilorin Emirate     Ahmed Mohammed Rifun     Samuel Adaramola     08001000100     SWAN     Rihanat Ajia     S.O. Opowoye     Afolabi-Oshatimehin Adenike Harriet     Azeez Salawu     Sulyman Age AbdulKareem     Baba Issa Awoye     ANCOPPS     Nigerian Army     Maimunat Oniyangi     Adamu B. Yaqubu     Aliyu Muhammed     Ijagbo Health Centre     Wahab Olasupo Egbewole     Tosin Saraki     Busari Alabi Alausa     Abdulrahman Abdulrasak     Agbarere     First Lady     Paul Olawoore     Adeleke Ogungbe     Aliyu Kora-Sabi     Okin High School     Lai Mohammed     Kola Bukoye     Mazars Consulting     IHS Towers     MalHub     Abdulwahab Oba     Police Commissioner     Special Agro-Industrial Hub     Sardauna     Hamza Usman     Kabir Shagaya     Abdulfatai Salman Baakini     Pakata Patriots     Gobirawa     Wakilin Mata Lafiagi     Kola Ologbondiyan     Saraki     Ubandawaki     Iliasu     Popo-Igbonna     Aisha Ahman-Pategi     Rice Farmers Association Of Nigeria     Oya State     International Public Sector Accounting Standards     Yeketi     Okiki     Saliu Tunde Bello     Abdulquowiyu Olododo     Shuaibu Yaman Abdullahi     HAMFAT Clinic And Maternity     Galadiman Ngeri     State Bureau Of Internal Revenue     Kamaldeen Gambari     Olabanji Orilonishe     Saidu Yaro Musa     Yusuf Ali     Wahab Issa     Oloje     Aliyu Sabi     Haashim Initiative For Community Advancement    

Cloud Tag: What's trending

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

Olokoba     Yusuf AbdulRasheed     Isiaka Alikinla     KSIRS     Dauda Adeniran Adeshola     Oluronke Adeyemi     Kwara Apc     Adebara     Olatunji Abdulmumeen     Tinubu Legacy Forum     Eleja Taiwo Banu     Shuaib Jawondo     Students Union Government     Yahaya Dumoye     Tunji Arosanyin     Budo Egba     Joseph Yemi Ajayi     Sardauna     Ilota     SGBN     Samari     Ubandoma     Ilorin Innovation Hub     Moshood Mustapha     Onilupeju Of Ilupeju     Muhammed Akanbi     Kwara 2015     Alimi     Lanre Aremu     Baruba     Umar Ahmed Gunu     Joshua Adeyemi Adimula     Omar Bolaji Gambari     Kwara Hotel     Umar Yakubu Jaja     Hamidu Olowo     Albert Ogunsola     Onilu     Wahab Femi Agbaje     Ridhwanullah Al-Ilory     Memunat Monsuma     Tunde Yusuf     Tescom.kwarastate.gov.ng     Mopelola Abdulmaliq-Bashir     Oniyangi     Rafiu Olasile     Bolaji Abdullahi     IYA YUSUF     Oni Adebayo     Sherif Sagaya     Saliu Oluwole     Kayode Ibrahim     Academic Staff Union Of Universities     Abdulrazak Shehu Akorede     Kayode Alabi     Funmilayo Braithwaite     Saliu Mustapha     Mohammed Lawal Bagega     Aliyu Salihu     Abubakar Abdulraheem     Sunday Otokiti     Laolu Saraki     Makama Of Kaiama     NaAllah     Adam Abdullahi Al-Ilory     Kwara State Fire Service     Odo-Owa     HAMFAT Clinic And Maternity     Mutawalle     Ganiyu Abolarin     Post Utme     Oba Of Jebba     Ibrahim Mashood     Mahmud Durosinlohun Atiku     SAPZ Project     Idris Amosa Saidu     Hajj