Of KWIRS non-declaration of collections in 2 quarters of 2024, and tax enforcement with Igbo traders
Dare Babatunde
Against usual practice, the Kwara Internal Revenue Service (KWIRS) decided that it would not declare “monthly” the internally generated revenue (IGR) of the State. This came with some level of criticisms, but the decision is not out of place nor against global practice; and when any Agency of Government is taking a new direction, good or bad, it comes with some level of criticisms from people of interest.
However, first and second quarter of 2024 have passed, and the third quarter is already in its second month, KWIRS is yet to make public what has been earned in the first quarter and second quarter of 2024. Bearing in mind that second quarters mostly witness high level of collections, does KWIRS have any explanation for this or willfully concealing information about collections from Kwarans?
Affairs of tax collection are not meant to be shrouded in secrecy, including loans, bonds, or any committment where the State’s IGR might have been used as collateral. The issue with KWIRS is not even a matter of corruption, but their failure to note that inefficiency and failing to do one’s job as demanded by global practice may be mistaken as corruption, and in this case allow assumptions to thrive without scrutiny. In this case, it becomes difficult to claim that refusal to do what is “normal” that something might be happening behind closed doors. Does KWIRS have any explanation or has embraced the “anyhowness” of Nigeria’s institutions, deviating from its foundational principle and aspiration of being a world class collection Agency?
According to insider reports, 6 Directors of the Agency recently got new cars. Thus, I believe the top Management and its Chief Executive having allocated such incentives to themselves should be able to happily tell Kwarans the 2024 revenue collection for the last 2 quarters. What will be a more perfect and befitting moment than when you got a new car?
In addition, KWIRS should instantly resolve any ongoing differences with Igbo traders in the State in order not to misrepresent the State Government as intolerant or targeting a particular ethnic group. The long needless statement on Twitter distancing State Government from the alleged targeting of Igbo traders isn’t going to solve much. Rather, the Chief Executive and top Management of the Agency are advised to deploy native intelligence in engaging the traders Association, negotiating and reconciling where necessary; not allow media to exacerbate something that could be managed. The traders Association are as well advised to withdraw their case in court, while appealing to Kwara State Government to find a mutually benefitting settlement so that businesses can continue and the State will not have to bear the brunt of ethnic sensitivity currently ravaging our nation.
According to ICIR, they did 20 interviews covering 10 Igbos and 10 Yorubas and their experience on taxation and tax officers are different, as against KWIRS claim that three Igbos and three Yorubas were affected. While I am not against taxation, it is one of the oldest sources of revenue generation for countries and states, however, it becomes a threat when it kills businesses, and end up not benefitting either government or individuals. Every businesses that closes is a loss to government and the owner.
Therefore, seek not the death of businesses but their survival and reconcile the taxation treatment of locals and investors. While also charging the Igbos Traders Association not to take the accomodating nature of Kwara and its government for granted, especially as the State possess a long history of friendliness and accomodation of visitors. That the State disagrees with you does not mean they hate you, it is important to offer understanding and compromise where possible, and at a level that does not harm your business – so that your members can continue their business peacefully, every member whose shop gets shut reflects the failure of the Association as well.
Although, the Executive Governor of Kwara, Mallam Abdullah Abdulrazaq hardly rises to occasion(s), and it is on that note I am appealing to him to crawl on the occasion of this taxation disparity, and resolve it as amicably as possible, to prevent such dangerous news of maltreatment of Igbos reaching his colleagues who share identity with Igbo traders in the State. While also charging him to crawl to the occasion on KWIRS declaring collections for first and second quarter of 2024.