FEDERAL GOVERNMENT PROJECTS 19.4TN REVENUE IN 2024
Written by Oyebamiji Idowu on January 25, 2024
Nigeria’s Federal Government is aiming for a record-breaking N19.4 trillion in tax revenue for 2024, buoyed by a successful 2023 that saw the Federal Inland Revenue Service (FIRS) surpass its target by exceeding N12.37 trillion.
This ambitious target represents a significant 56.9% increase from the previous year’s actual revenue and a 67.91% increase from the previous year’s target. The FIRS, led by Chairman Dr. Zacch Adedeji, attributes this optimism to improvements in tax collection systems and a more favorable economic environment expected to encourage business growth.
“We are confident that the N19.4 trillion target is achievable because of the effective tax collection system we have put in place and the viable economic environment we are creating for businesses to prosper,” Dr. Adedeji stated.
The 2023 performance demonstrates the agency’s effectiveness. Not only did it surpass its N10.7 trillion target, but it also achieved a remarkable 74.4% contribution from non-oil revenue, reaching N9.2 trillion. Oil revenue still plays a significant role, contributing N3.17 trillion or 25.6% of the total.
This diversification away from oil dependence is a positive sign for Nigeria’s long-term economic stability. The government’s efforts to improve tax collection and expand the tax base are crucial in generating the revenue needed to fund essential services, infrastructure development, and social programs.
However, achieving the ambitious N19.4 trillion target in 2024 will require continued focus on improving tax administration, expanding the tax base, and fostering economic growth. The government must also ensure transparency and accountability in tax collection to build trust with taxpayers and encourage compliance.
With a strong commitment to these goals, Nigeria can harness the potential of its tax system to drive sustainable economic development and improve the lives of its citizens.
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Source: Jordan105.5fm News Bulletin.