The Senate has set a N3trn target for federal government revenue-generating agencies in 2022.
It said the revenue agencies could meet the target annually if efforts are made to cut down on wasteful spending.
Senate President Ahmad Lawan stated this yesterday during an opening of an interactive session between the Senate leadership and Committee on Finance and revenue-generating agencies of government.
Lawan said one of the ways of increasing the government revenues is for the National Assembly to be rigid on increased revenue to cut down on the country’s budget deficit and borrowings, as well as prevent wasteful expenditures by agencies of government.
He assured that the upper chamber would provide the needed support through legislation to ensure that revenue agencies perform to meet and surpass their targets.
He said, “In 2022, the National Assembly assumed and rightly so, that our government-owned enterprises can generate up to N3 trillion if we are of the mindset that we can achieve that and, of course, ensure that we oversight to stall any possibility of unwarranted expenditures by agencies of government.
“But that does not mean in any way that it is going to be some kind of investigation on what you do, but an encouragement of what you need to do.
“In this meeting and subsequent ones, there should be no holds barred on discussions.
“Where an agency feels it is encumbered in any way from achieving its target, it should say so, so that we are able to prescribe the right solutions for it to perform.
Meanwhile, Senate President said that the National Assembly is considering amending the Finance Act 2022 to address the confusion caused by the Act regarding revenue collection by government agencies.
Lawan stated this while responding to the submission of the Comptroller General of Nigeria Customs Service, Hameed Ali, who lamented that the Finance Act was hindering his agency’s ability to collect levies and other collections.
Ali said, “Our understanding of the provisions is that all other laws, which mandated us to collect are inconsistent with the new Act, then they are voided.
“It shall be an offence for any person to carry out the functions of administering, assessment, accounting or enforcement of taxes or levies due to the Federal Government of Nigeria unless authorised by the Ministry of Finance with the approval of the National Assembly.
“We have consulted with lawyers and the conclusion is that the Act is confusing and if other revenue-generating agencies decided to act on the provisions, they may decide not to collect duties and levies.”
Making a similar lamentation, the Director of Finance, Nigeria Immigration Service (NIS), Aba George, said the N400 billion the agency is supposed to be generating as revenue on yearly basis is being cornered by UK based firm handling most of its outsourced services and operations.
According to him, the contract on the outsourced services and operations given to the UK based firm on behalf of Nigeria Immigration Service in 2003 gives the government 33% of proceeds, Immigration 7% while the remaining 60% is cornered by the firm.
Responding, Lawan said the Senate Committee on Finance, the Ministry of Finance and other agencies would look at the Act.
“If it is established beyond reasonable doubts that we need to amend it, we will do so without delay. It will be the fastest amendment because we need you to collect more monies for the federal government,” he added.
On the submission by Immigration, Lawan directed the Committee Chairman Senator Olamilekan Adeola to summon the Ministry of Interior on the issue.
“This is unacceptable. We cannot continue like this. We must see the end of this contract in the national interest,” he said.
