Federal Ministry of Finance, Budget and National Planning has reaffirmed its determination in blocking revenue loopholes and debt recovery drive.
The Director in charge of Special Projects in the ministry, Mr Victor Omata, stated this at the zonal sensitisation workshop on Federal government debt recovery drive through Project Lighthouse Programme held in Kano.
Represented by deputy director special projects, Malam Mohammed Sa’idu, said the ministry initiated the lighthouse program with the aim of blocking leakages and loopholes in the aspect of Tax Paying from contractors and other related stakeholders.
He said the essence of the sensitization workshop was to enlighten MDA’s on how to block revenue leakages , so that no one would escape from paying Tax.
“Government was committed in enhancing revenue especially tax revenues, some companies would do contracts with government and refused to tax, with this Lighthouse program government would be able to recover those revenues with the aim of strengthening budget and revenue geared towards enhancing infrastructure”
The Director noted that the recoveries were made through this lighthouse program, and it has been credited to the federal inland revenue account, which benefits states and local Governments.
” over 5,000 companies and individuals spread across 10 Ministries Departments and Agencies are owing the Federal Government N5.2trn.”
“In a bid to block revenue loopholes and increased revenues, especially from non-oil revenue sources, the Ministry initiated “Project Lighthouse”, which is one of the portfolio projects under the Strategic Revenue Growth Initiative (SRGI).
Omata further explained that Data from Project Lighthouse revealed that many companies and individuals who owe government agencies, have refused to honour their obligations were still being paid especially through the government platforms.
The director explained that Debts were in the form of debt liabilities to the Federal Inland Revenue Service (FIRS).
According to him, part of majors taken by the Ministry to curb revenue leakages include; the issuance of a Ministerial directive on 26 September 2019 to all MDAS, with a view to aggregate all Government debt across the Public Finance space as well as to have a Single Window on the credit profiles.
“The Federal Executive Council (FEC) regulatory approval on Wednesday 31st March, 2021, to extend the functionalities of Debt recovery Capability of Lighthouse to enable the ministry fully automate the debt recovery process and make settlements of debts as seamless as possible,”
Some of the participants who spoke to the Radio Nigeria Applauded the foresight of the ministry for organizing the workshop and promised to step down the knowledge with others.
The workshop was attended by government officials and other stakeholders.
Abdullahi Jalaluddeen/Kano
