AWKA — The Chairman of Anambra State Internal Revenue Service –AIRS, Dr. David Nzekwu has expressed the Board’s readiness to set a new record of revenue generation in Anambra State. Only in 2020, AIRS generated a total of about N28 billion in remittances to the state. That amount is the highest figure ever generated as revenue by the state. With the Board’s new revenue agenda, the Chairman has also set in motion, means to recover revenues accruable to the state but not remitted to the coffers of the state government.
Hence, during enforcement exercise by the AIRS within the week, some banks in various locations in the state have been sealed, for tax default or inability to remit to government coffers amount due to the state in their (bank’s) possession. In one of these banks, because of their unwillingness to submit relevant papers for proper audit, the amount owed Anambra state could not be factually established.
However, best of judgment projection pegs the amount at more than a hundred billion Naira. Yet, one other bank that was also sealed is owing to the state over fifty million Naira in tax remittance default. Speaking on why the banks and other companies were sealed, Dr. Nzekwu remarked that enforcement is part of the functions of the Revenue Board and comes into effect after defaulters fail to comply with the Board.
‘We offered to wave interests and penalties for tax defaulters for their outstanding taxes. Having done that, we have now started our usual enforcement. So we have sealed a number of institutions that have outstanding taxes to pay,’ Nzekwu said.
When asked if the banks and other companies sealed were informed of their failure to comply with the AIRS, Dr. Nzekwu said that they were duly informed. “Anambra Revenue Service is a responsible organization, we have a procedure that we follow in everything that we do. Two banks were sealed today; GT Bank and Unity Bank. For GT Bank, it is in respect of remittance of stamp duties that have been collected from individuals in Anambra state that are not remitted to the state. There have been some court processes and on the basis of court judgment we have acted. In the case of Unity Bank, it is in respect to PAYE remittances which they were outstanding from 2015 to 2016, and we went to court and based on the orders of the court, we have acted,” the AIRS Chairman narrated.
Addressing pressmen on the challenges of tax collection in Anambra State, while sharing his ambitious tax regime for the state, Dr. David Nzekwu explained that the Board is working hard to ensure that the government lives to the high expectations of the people, by making sure that the money the government requires to do all the work is collected in taxes, tolls, and other revenue sources for the state.
“The challenge of revenue payment in Anambra State is not peculiar to Anambra State. It is a general challenge in the country. If you look at our figures, beyond people that pay PAYE to the state, just about four thousand people pay taxes by way of direct assessment tax in Anambra State. When we look at levies and others, the amount is significantly low. Less than one percent has responded to our demand notices, and that’s why we are resolved about sustained enforcement and add to it continuous enlightenment,” Dr. Nzekwu said.
Expressing optimism in revenue collection this year, Dr. Nzekwu said that they are estimating about fifty-two billion or a little less in internal revenue this year. He also commended the support from the government and other stakeholders, even as he appealed for cooperation from business and corporate entities to strengthen government and its ability to provide public services and infrastructure to the people, through payment of taxes and other revenues to the government.
He is a Technical Assistant to Governor Willie Obiano’s Special Adviser on Legislative Matters, whoonce was a Special Adviser to a former Deputy Speaker of Anambra State House of Assembly. Ebuka is a second class upper division graduate of Political Science from University of Calabar, Calabar Nigeria and holds a Masters Degree in Political Science with specialization in Government and Development Studies, from Nnamdi Azikiwe University, Awka Nigeria
