Opinion
FIRS: Tax, The Untaxed and the Taxables
By Salisu Na’inna Dambatta
It is common truth that no country on earth, including Nigeria, is able to tax all the taxables, or even bring all the untaxed into the tax net. Tax registers everywhere rarely contain all the untaxed as required by the tax laws.
FIRS Achieves Milestone: N5.5 Trillion Tax Revenue In Record Time
Even though the Federal Inland Revenue Service (FIRS) which last tax year (2022) celebrated a record N10.1 trillion tax collection for the federation, the country wants it to generate more than that amount of money in 2023.
It is a positively achievable ambition by the top tax man, Muhammadu Nami, who turbo-charged the tax gathering machinery to haul that N10.1 trillion despite low oil revenue and targeted tax waivers and holidays granted to encourage higher economic activities in some sectors. In 2022, over ₦1.8 trillion was granted in tax waivers and incentives. If this had been collected by the FIRS in tax revenue, the agency would have raked in almost N12 trillion in 2022.
As at the half of 2023, the FIRS had raked in over N5.5 trillion. Two interesting facts make this tax revenue collection remarkable. One, it is the highest tax revenue collection made in the first six months of any fiscal year. And in June of 2023 alone, N1.6 trillion was raked in—the highest tax revenue collection made in a single month in Nigeria’s history.
While ₦10.1 trillion is phenomenal by any standards, a doubling of this can be achieved by the FIRS and State Revenue Services if they can successfully tax the untaxed and bring in the taxables. A consultant’s report submitted to the former Minister of Finance, Mrs. Kemi Adeosun identified and listed about a thousand taxable activities that could yield huge revenue for Nigeria that were yet untaxed.
For instance, the countless iron mongers in cities, towns and villages all over the country, who forge beautiful doors, windows, security and ornamental railings, are definitely untaxed. The National Bureau of Statistics reported that in the third and fourth quarters of 2021 iron, steel and metals worth N837 billion were imported to Nigeria. Road-side informal iron-mongers who turn a significant portion of those products into useful items do not pay tax on their production activities.
The furniture industry in Nigeria has been transformed beyond imagination. So also the entertainment sector. Both are probably untaxed, or minimally taxed. The two sub-sectors can be taxed appropriately to boost Federal government revenue.
Hewers of wood, lumberers and drawers of water are depleting our forests, turning Savannah to sahelian bushes, rain forests into derived Savannah, just to produce charcoal for energy and timber for construction and furniture, without being taxed. Taxing them heavily enough can discourage the destruction of the country’s flora, and consequently, fauna, and the whole environment.
Another way in which huge tax revenue is lost is through dodging withholding tax by landlords who own rental properties such as residential, business premises and even undeveloped plots let out to mechanics and other artisans.
Huge number of warehouses let out at profitable rates are mostly untaxed, especially those which are located in the outskirts of major cities: Lagos, Abuja, Kaduna, Port Harcourt, Kano, Ibadan, Warri, Onitsha and even Owerri, among others.
The “unrecorded and unmonitored” economy, reportedly constituted a huge 57.7 per cent of the country’s total economy in 2022. It thrives and enriches its operators, but deprives the national treasury of a fraction of its treasures through the payment of taxes or fees and levies.
“The size of Nigeria’s informal (shadow) economy is estimated to be 57.7% which represents approximately $1,164 billion (over a trillion USD) at GDP PPP,” a report based on Quarterly Informal Economy Survey (QIES) by World Economics, London, indicates.
The $1,164 billion shadow economy in 2022 alone, is just a shadow below nine times the cost of the Kano-Maradi and Kano-Dutse Gadawur dual track railway lines under construction. Nigeria borrowed $1.9 billion to finance the project. Collecting just ten per cent of $1,164 billion would have almost covered the price of the project.
That lost tax revenue derivable from the shadow economy could have been utilised in massive rural electrification projects to power micro and small businesses that contribute to economic growth in rural areas.
It is perhaps in its bid to tax the untaxed that the FIRS recently entered a partnership with the Market Traders Association of Nigeria (MATAN), where the FIRS would educate members of MATAN on tax payments and cooperate with them to charge and remit Value Added Tax (VAT) in the course of their businesses. This masterstroke partnership may hold the key to untapping the volume of taxes hitherto uncollected from country’s trillion-dollar worth informal sector.
More of these kinds of partnerships need to be seen between tax authorities and organized unions in the business place if the FIRS and its colleagues in the State Internal Revenue Services must tax the untaxed taxables.
Salisu Na’inna Dambatta is a retired federal Director of Information.
A pro-democracy group, the Progressive Group for Democracy (PGD), has called on President Bola Tinubu to intervene and stop local government officials in Lagos State from pursuing unconstitutional third terms in upcoming council elections.
The group alleges that officials in Agbado Oke-Odo and Ikosi Isheri Local Council Development Areas (LCDAs) are exploiting legal loopholes to extend their tenures, in violation of Nigeria’s Constitution.
Speaking at a press conference in Abuja on Tuesday, PGD National Coordinator Aladesanmi Abiodun Salawu described the move as a “clear violation” of constitutional provisions and a threat to Nigeria’s democracy.
He invoked President Tinubu’s historical opposition to tenure elongation, referencing the president’s fierce resistance to former President Olusegun Obasanjo’s third-term bid in the early 2000s.
“As a pro-democracy group, we are reminded of President Tinubu’s fierce opposition to Obasanjo’s third-term agenda. President Tinubu stood firmly against constitutional manipulation then. Where is the president’s voice now?” Salawu asked.
The PGD alleges that the officials in question assumed office following the deaths of elected chairpersons, took oaths of office, and later won full terms in subsequent elections.
“Their current bids for re-election, the group argues, constitute an unconstitutional third term. Salawu cited the Fourth Alteration to the Constitution, signed into law by former President Muhammadu Buhari in 2018, which prohibits individuals from seeking a third term after completing a predecessor’s tenure and winning a subsequent election.
“Today, we stand at a very dangerous crossroads. The same anti-democratic forces that our heroes fought against during the June 12 struggle are re-emerging in Lagos State,” Salawu said.
“In Agbado Oke-Odo and Ikosi Isheri LCDAs, we are witnessing a calculated attempt to normalise constitutional violations through the backdoor.”
The group also criticised Lagos State Governor Babajide Sanwo-Olu, accusing him of complicity due to his silence on the issue. “As the chief security officer of Lagos State, (Sanwo-Olu)has a constitutional duty to uphold the rule of law. His silence is not just concerning; it is complicity,” Salawu said.
The PGD urged President Tinubu to publicly denounce the third-term bids and called on the Attorney General of the Federation to issue an advisory on term limits for local government administrations.
It also demanded that the Lagos State Independent Electoral Commission (LASIEC) disqualify candidates seeking unconstitutional terms.
“These individuals in Agbado Oke-Odo and Ikosi Isheri LCDAs must withdraw their candidacy immediately. We are not making a request; we are stating what the constitution already mandates,” Salawu declared.
The group vowed to challenge the alleged violations through legal means, including mobilising civil society, approaching the courts, and organising peaceful protests if necessary.
“The Lagos Society for Good Governance will utilise every legal means available to challenge this dangerous precedent,” Salawu added.
BY ABUBAKAR YUSUF
History was made again today at the National Assembly Service Commission NASC as the newly appointed as Executive Chairman,Dr Saviour Enyiekere and his Commissioners, was sworn in by President Bola Ahmed Tinubu at the Presidential villa to signify the beginning of another five years journey for the new management of the Commission.
Dr Enyiekere who was appointed along with his 12 commissioners representing the six geopolitical zones on 20th, February, 2025, assumed duty on 5th, May, 2025 few months after their appointment after been taking oath office.
He took the oath of office as the sixth National Assembly Service Commission Chairman since the inception of the Commission over four decades ago .
Until his appointment, Enyiekere, an environmental specialist, was the Deputy Chief of Staff to the Senate President and had played a leading and strategic roles in the last 19 months before his elevation.
Soon after he took the oath office along with his commissioners , he assumed duty and was hosted by management and staff of the National Assembly Service Commission NASC and by extension, the National Assembly management led by Barrister Kamoru Ogunlana, the new Clerk to the National Assembly CNA.
Fresh and determined to make a difference,While acknowledging the audience along with his new commissioners , he described today’s occasion as unique with the date falling to 5/5/2025, stating his determination to work with all stakeholders at the NASC and NASS.
He eulogised the outgone leadership of the commission and also paid a glowing trubutes to the deceased ones , acknowledging their unique performance and contributions to the development of the commission in all areas.
Enyiekere who solicited for the cooperation of the management, staff and staff union , promised to prioritize the welfare and well-being of staff of the commission.
The New Executive Chairman , National Assembly Service Commission NASC, Dr Saviour Enyiekere also promised to work harmoniously with the management of the commission , staff, and members of Parliamentary Staff Association PASAN.
Dr Saviour who attracted a conference hall that was filled to capacity bare his mind of carrying all and sundry along in his new administration .
Assertive, young and brilliant to manage the affairs of the commission, he promised to promote and sustain the legacies of management and previous leadership saying their contributions was indelible on the sands of time.
He used the opportunity to appreciate Nigeria’s President and reiterated his commitment along with his commissioners to promote and protect the Renewed Hope Agenda of the President Bola Ahmed Tinubu’s administration, with full support the leadership of the National Assembly under Senator Godswill Akpabio and Rt Honourable Tajudeen Abbas, lauding them for a job well-done and careful selection of the new Chairman and members/commissioners of the commission.
While describing the new responsibility as hectic and challenging, , saying with prayers , God will see us through.
Dr Saviour Enyiekere who promised to keep intact the good records of NASC management and the staff union , so as to ensure harmonious working relationship going forward.
During the handing over ceremony, The Secretary to the Commission, Mr
Lucky U. Ikharo, while presenting the handover documents to the new NASC boss, pledged the total commitment of the NASC Management towards the effective performance of the Commission’s assignment.
Speaking further during the handing and talking over ceremony at the Commission’s Conference Room, the new NASC boss told officials of the National Assembly Service that his leadership would emphasise the welfare of the workers of the Service, harmonious working relationship and productivity.
The new Chairman and his commissioners anxious to make a difference asked all stakeholders to extend their fellowship, admonition and possibly corrections.
Dr Saviour , a grassroot politician , with indepth experience in civil and political exposure, promised to make a difference without further delay .
The entire National Assembly Service Commission NASC bounced back to life after three months since the exit of the former Executive Chairman , National Assembly Service Commission NASC, Engr Ahmed Kadi Amshi FNSE.
Highlights of the occasion included group photograph, media interview and interactions with the management and staff of both the National Assembly Service Commission NASC, National Assembly leadership led by Barrister Kamoru Ogunlana along with the new commissioners.
With his assumption of duty and his promises, no doubt a new dawn has encapsulated and heralded the National Assembly Service Commission NASC and his leadership.
In a goodwill message, the Clerk to the National Assembly, Barrister Kamoru Ogunlana, assured the new Commission of the full co-operation of the National Assembly Management towards achieving success. He, however, pleaded with the Commission to carry the National Assembly Management along on key decision-making.
The Honourable Commissioners that reported to duty alongside the Chairman include: Mr. Hanmation Mark Tersoo and Mr. Salisu Umar Agboola-Balogun (North-Central); Alhaji Lawan Maina Mahmud and Aminu Ibrahim Malle (North-East); Senator Suleiman Othman Hunkuyi and Hon Yusuf A. Tabuka (North-West), Chief Festus Ifesinachi Odii (South-East), Mary Samuel Ekpenyong and Mr Patrick Giwa (South-South), Mrs Taiwo Olukemi Oluga and Ipesa-Balogun, Afeez (South-West, with
The Honourable Commissioners that reported to duty alongside the Chairman include: Mr. Hanmation Mark Tersoo and Mr. Salisu Umar Agboola-Balogun (North-Central); Alhaji Lawan Maina Mahmud and Aminu Ibrahim Malle (North-East); Senator Suleiman Othman Hunkuyi and Hon Yusuf A. Tabuka (North-West), Chief Festus Ifesinachi Odii (South-East), Mary Samuel Ekpenyong and Mr Patrick Giwa (South-South), Mrs Taiwo Olukemi Oluga and Ipesa-Balogun, Afeez (South-West), with Festus Ifesinachi Odii not yet resume from the South-East .
Written BY ABUBAKAR YUSUF on yus.abubakar3@gmail.com.
By Capt. Caleb Danladi Bako
The global shipping industry is the lifeblood of international trade, with nearly 90% of goods transported by sea. Behind this vast network of commerce are the seafarers professionals whose dedication keeps the world’s economy afloat. Yet, while the focus often falls on operational efficiency, safety, and environmental concerns, an equally critical aspect remains largely in the shadows: the mental health and wellbeing of those who spend months away from home, isolated and often battling invisible struggles.
Having worked both at sea and now within the maritime industry ashore, we have witnessed firsthand the emotional challenges faced by seafarers. Life at sea is often romanticized, but the reality is far more complex. Prolonged isolation, communication barriers, high-pressure environments, and the unpredictability of life at sea contribute to a unique mental health crisis that has, for too long, gone unspoken.
A seafarer’s life revolves around routines, watches, and operations that leave little room for personal downtime. The absence of family support systems limited recreational facilities, and minimal mental health resources onboard amplify feelings of loneliness and helplessness. Recent studies, including those by the Mission to Seafarers and the International Seafarers’ Welfare and Assistance Network (ISWAN), reveal alarming rates of depression, anxiety, and even suicidal ideation among crew members. These findings highlight a pressing need for the industry to prioritize mental health with the same seriousness as physical safety.
The COVID-19 pandemic further exposed and intensified these struggles. Hundreds of thousands of seafarers were stranded aboard ships, unable to disembark for months beyond their contracts. Crew change crises turned ships into floating prisons, exacerbating feelings of abandonment and mental exhaustion.
Though some shipping companies have since introduced mental health initiatives such as access to tele-counselling and mental wellness apps, these measures are still the exception rather than the norm.
Mental health challenges at sea are not merely personal struggles; they can have direct safety implications. Fatigue, anxiety, and depression diminish focus and decision-making ability, increasing the risk of accidents. Thus, protecting seafarers’ wellbeing is not only a moral obligation but a safety imperative for the entire industry.
As industry experts and former seafarers, we believe urgent cultural change is required. Shipping companies must move beyond token programs to embed mental health care into the fabric of maritime operations.
Practical steps include mandatory mental health training, confidential support systems, improved internet connectivity for family contact, regular shore leave, and destigmatization of seeking help.
It is time to bring the untold struggles of seafarers into the light. By acknowledging their mental health needs and committing resources to support them, we honor not only their critical role in global trade but their fundamental humanity.
Capt. Caleb Danladi Bako
Maritime expert and Academic Researcher
E-mail: Caleb.Danladi@plymouth.ac.uk, dancb2k@yahoo.com
Phone: +2348064218253