The Federal Inland Revenue Service (FIRS) has announced that it generated a total sum of N1.782tn in tax revenue between January and July this year.
The announcement was made on Tuesday by the Executive Chairman, FIRS, Mr. Tunde Fowler, while defending the budget of the agency before the Senate Committee on Finance in Abuja.
Fowler further said that he projected raising the current N828bn annual Value Added Tax collection to N1.8tn this year, representing over 125 per cent increase.
According to him, the figure represents an increase in tax revenue of N224.14bn when compared to the N1.558tn collected in the same period in 2016.
The FIRS boss also said the agency had also set tax revenue targets for 2017 based on the Federal Government’s 2016-2018 Medium Term Revenue Framework amounting to N4.89tn.
Fowler underscored that the performance of the 2017 budget will be driven by VAT collection.
“The service, in realisation of this responsibility and challenges of doing manual collection, has automated VAT collection for the critical sectors of the economy, notably telecommunications, airlines and financial institutions,” he said.
He sought the Senate approval on “the surplus budget of N848bn arising from an expected total revenue of N153.4bn over expenditure of N152.6bn.”
On the revenue projections performance in the first half of 2017, he stated that the analysis showed that the FIRS had recorded an increase of N224bn, representing an overall increase of 14 per cent when compared with the collection performance for the corresponding period in 2016.
“We have, therefore, achieved 72.93 per cent of our half-year target of N2.44tn for 2017, as against 74.2 per cent of N2.1tn for the corresponding period in 2016,” he said.