The Federal Government has been urged to ensure that all leakages in the financial system are blocked and the revenue generated from the new Value Added Tax regime is judiciously utilised to cushion the effect of rising cost in the country.
Chairman of Nexia Agbo Abel & Co, a financial consulting firm, Mr David Olaleye, gave this advice during the weekend in Abuja at his retirement dinner, where family, friends and well-wishers poured encomiums and eulogized his rare virtue.
Government has increased the VAT from 5 per cent to 7.5 per cent with the new tax regime, as espoused by the finance law, came into effect on February 1.
Olaleye, who said there was nothing wrong with the VAT increase, however, said there was the need to channel the revenue accrued from this increment to finance key national projects that would enhance the living standard of Nigerians.
He insisted that both government and individuals in the country must embrace “a stakeholder mentality” and take ownership of Nigeria for the nation to experience unfettered development.
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He said there was no doubt that the new tax regime would lead to high cost of goods and services, noting that to cushion the impact those in government must do the right thing with the revenue generated.
He said: “Naturally, the implication of the VAT increase is that cost will go higher. However, the resources generated should be applied to the nation’s development.
“We can block revenue leakages, if all of us as individuals, including the government, work on our attitude to development. We must have what I call a stakeholder mentality. We should believe the success or failure of the country rest on us,” he said.
Olaleye whose expertise cuts across audit and assurance, taxation, entrepreneurship, and secretariat, noted that his greatest joy was that he dedicated his career to the service of humanity.
He equally said that he would spend his retirement in continuation of his service to humanity, believing that when one follows the footsteps of God, “he is sure of getting to the promised land”.
Aliyu Yusuf, a partner tax services, Nexia Agbo Abel & Co, eulogised the virtues of Olaleye, saying “he is like a father to everybody and believes that everybody is a member of the family”.
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