Reps want FIRS to spread revenue to states

THE House of Representatives on Wednesday passed for second reading a Bill for an Act to provide for the distribution and payment to State Governments of some taxes and duties collected by the Federal Inland Revenue Service (FIRS).

The Bill seeks to give effect to the provisions of Section 163, of the 1999 constitution of the federal republic of Nigeria as amended, as it relate to the distribution and allocation of other revenue as contained in the constitution.

The bill, sponsored by Hon Hazeez Akinloye in his lead debate said that, the provision of the constitution relates to the powers of the National Assembly to make laws in matters of collection in Taxes.

According to him, ‎”This is intended to achieve Fiscal Federalism in Nigeria and make the FIRS more accountable and transparent with no financial responsibility on the federal government”.

He said that, upon collection of such taxes by the FIRS, a certain percentage of such collections are remitted to the States affected and the FIRS retain some.

Contributing to the debate, Hon Mukaila Kazeem said that the bill was necessary at a time when some states  now find it difficult to pay salaries, stressing that, “It will boost the financial status and revenue of States if taxes are paid on time”.‎

The bill scaled through second reading when the Speaker, Hon Yakubu Dogara put it to voice vote and was subsequently referred to committee on Finance for further legislative input.