The Chairman of the Joint Tax Board (JTB) and Federal Inland Revenue Service (FIRS), Mr. Babatunde Fowler, has disclosed that the tax agency is set to launch a new Tax Identification Number registration system to boost tax compliance and revenue collection in the country.
- The Tax Board Chief unveiled this plan while addressing delegates at a high-level gathering convened by the General Assembly of the United Nations, at the weekend in New York.
- Mr. Fowler explained that the new TIN registration system, which is scheduled to be launched tomorrow by Vice President Osinbajo, will boost tax compliance, bring convenience to the taxpayer.
- In turn, it will enhance revenue collection. More so, the new JTB TIN number will be universal throughout the country and can be used by taxpayers to pay any type of tax.
The new JTB TIN registration system is also expected to reduce the burden of multiple TIN numbers registration from different tax authorities and states. The new system leverages on the biometrics from Bank Verification Number (BVN), tax agencies, the Corporate Affairs Commission (CAC), and the National Identity Management Commission (NIMC).
Bringing all into one platform, Mr. Fowler further explained.
“The new system is able to generate TIN automatically for newly registered cooperate taxpayers from CAC, verify TIN details and print TIN certificate, using the TIN Verification Portal.
“The system also allows tax officials and taxpayers to initiate TIN registration from the comfort of their homes/offices and at their convenience, as the system also notifies the taxpayer through a robust and secured system-system integration, with transparent and convenient benefits.”
Implementation: Speaking on the next phase of the project after its launch on July 1, the FIRS Chairman stated that it will be deployed to all government agencies across the federation that requires it.
- He stressed that the system would be used for its specific purpose, as taxpayers information will be in strict confidence.
- According to the FIRS Chairman, the new initiative is another convenient way to carry out business where a tax clearance certificate is required.
What this means: the FIRS’ efforts to increase revenue collection through the launch of the new TIN system, is expected to help it bridge Nigeria’s growing fiscal deficit. However, it also increases the amount of information tax authorities can have about taxpayers.
- A universal TIN now means the Federal Government and states can share useful information that can help them catch tax evaders.
- Whilst they claim, this will help eliminate multiple taxations, it may actually increase as corporations now get increasingly exposed to different tax authorities across the country.
- This should particularly interest corporations with operations across the country.
(Nairametrics)
