A Consultant with Action Aid Nigeria, Mr Kolawole Banwo, has urged the Sokoto state government to review its tax laws and apply modern system of tax collection which could facilitate a rise in internally generated revenue.
Mr Banwo made the plea at a two day stakeholders meeting in Progressive Tax, Gender Responsive Public service and provision of free, quality and inclusive education for girls and marginalised children in Sokoto State North West Nigeria.
According to him, if sokoto state can review the tax laws it would serve as a strategy to improve revenue generation across all sector of the economy in the State.
“The state should look at the laws and the rates, because some of the taxes are obsolete there is need to review the rates as the economy and population has changed and grow if there is need to increase the amount.
“There is also need to do thorough work to get the data base of all eligible payers through tax net to enable the government know those businesses or individuals that are to pay tax whether in the formal and informal sector of the economy”. Mr Banwo said.
He added that Action Aid Nigeria has come up with mixed recommendations and they expect the State government to employ them and set a modern machinery for system to improve revenue generation.
Mr Banwo also encourage government to create an enabling environment for small and medium enterprises to operate efficiently.
“We need businesses to pay tax so if government support SMEs with credit, training of some of the entrepreneurs on ability to manage their businesses they will get more profits and subsequently they will pay tax,” he added.
He noted that the sate had a comparative advantage especially on agriculture and tourism, adding that there was need for the government to package them in such a way that it would attract more investors.
“If state can packages those opportunities it will attract more investors as well as employ workers that will pay their tax as well as generate more revenue,” the consultant explained.
He further adviced the state government to use technology to block leakages and stop corruption through the use of Treasury Single Account to ensure all money collected go to government account without any hinderance or corruption.
Mr Banwo added that if state can implement all the recommendations it assist in increases revenue generation and access to more resources to be use fund general activities especially education of girls and marginalised children including inclusive education.
The Action Aid Consultant therefore urged all income earners to find the tax that is due for them to pay by law and pay it voluntarily to the relevant authority to help government use it appropriately for their own benefit.