The Kwara State Internal Revenue Service has said that it was able to generate a total of N6.2billion in the last quarter of 2020.
In a statement signed by the Executive Chairman, Shade Omoniyi, the tax agency said that in spite of the imbalances created by the Covid-19 pandemic, it made N6,227,099,973.42.
She gave a breakdown of monthly generation for October as 2,765,485,579.54, November 1,287,202,252.78 and December 2,183,412,141.10 which sum up to N6,227,099,973.42.
“The Service had a remarkable first quarter before the COVID-19 pandemic took full effect on the economy. Due to the lack of physical contacts with some taxpayers for collections as well as the lockdown, there was a huge dip in revenue generated in second quarter, 2020 which extended into Q3 2020. By the last quarter of 2020, there was a substantial recovery from the crippling effect of the pandemic on businesses and Internally Generated Revenue (IGR).
“For the entire year 2020, KW-IRS recorded a total revenue of N19, 623,992,033.64 which was 75.48% of the N25, 997,573,296.00 revised annual budget.
“The year 2020 was marked with quick implementations of various measures to cushion the effects of the pandemic on taxpayers, which included the donation of palliatives, extension of the deadline for filing Annual Returns from 31st March to 30th September, 2020, 30% waiver on arrears on ground rent and land charge for property owners and land occupiers, granting of moratorium to informal sector taxpayers, suspension of all enforcement activities, waiver of penalty and interest for High Net Worth Individuals (HNIs) and Corporate Organisations and over 30 Community Impact Programmes (CIPs).”
Omoniyi also hinted that the Service made accelerated efforts at the implementation of its automated systems to reduce the rate of physical contact required with tax payers for optimal revenue generation.
She added that this was evidenced in the recent achievement of $16.9m in SFTAS Annual Performance Assessment (APA) for 2019/2020 by the service which ensured accountability and transparency in internal processes and reporting of the service reiterating that it also improved significantly in sequential and systematic reporting through the social, print, and electronic media platforms.
The Chairman stated that activities of KW-IRS in the year 2020 as well as the remarkable performance recorded irrespective of the snags caused by months of lockdown are pointers to commitment to the welfare of taxpayers and improving the revenue drive of the State.
She stated “However, we are still experiencing a huge incidence of low tax compliance in the State. The Service will be implementing a year round sensitization and enforcement sessions with a view to reduce the incidence of tax evasion and under remittances. The year 2021 will also herald continuous automation of all relevant revenue lines which will change the mode of collection in several touch points across the State. The Service is appealing to all tax payers to join the Service in improving IGR to help the Administration in fulfilling its obligations to the populace.”