Voluntarily Comply With Filing Returns, FCT- IRS Tells MDAs, Taxpayers

As January gradually comes to an end, the Federal Capital Territory Internal Revenue Service, FCT-IRS, has called on Ministries Departments And Agencies, MDAs and all taxpayers to file their 2023 annual tax returns before the deadline.

The Acting Executive Chairman, FCT-IRS made the call in Abuja, warning that the deadline for MDAs is 31st December, while employees and other taxpayers ends in March.

Mr Haruna Abdullahi who spoke through the Head of Tax Operations, FCT-IRS, Mr Abubakar Salisu, explained that Voluntary compliance in tax system refers to the principle where citizens willingly cooperate with their government by filing honest and accurate annual returns without waiting for any persuasion.

Mr Haruna said filing annual tax returns is a mandatory civic responsibility of all taxable residents, towards contributing their own quota for the development and common good of all.

The tax boss threatened that the FCT-IRS would no longer hesitate to enforce the law on MDAs and employees that default in their remitances or filling of returns.

According to him, employees that could not file their returns before the end of the March deadline attracts fifty thousand (50, 000) fine, while MDAs risk paying fines to the tune of five hundred thousand naira (500, 000) and even a jail term.

Mr Abdullahi further explained that the Personal Income Tax Act, PITA and the FCT-IRS Act have given the Service the legal backing to sanction defaulters, by carrying out Audit of that agency or an employee with up to 6 years arrears when found guilty of evasion.

The Acting Executive Chairman therefore advised all MDAs and Tax Payers not to compel the Service to carry out Audit on them, but rather, come out voluntarily to perform one of their civic responsibilities by filing the 2023 Annual Tax Returns.

He identified lack of willingness of taxpayers to voluntarily declare their profits from all sources, including the part time jobs and lack of awareness of tax evasion penalties, as some of the setbacks of developing countries in successful tax administration.

“In law ignorance is not an excuse. If FCT-IRS has ever sent SMS to you, you should know that we know more than just your phone number, if FCT-IRS has ever sent you an email, you should also know that we know you beyond your email. Voluntary compliance is just the sure way to go. Be guided” Abdullahi once again warned.

“If you have not been filing your returns, but have realized that you need to file and has decided to start filing this year, just come, that is what is called voluntary compliance. The FCT-IRS will look at your efforts. Even the law says there should be leniency. you don’t need to wait for the tax Authority to identify you. we will wave off part of your arrears debt and consider your case as a case of voluntary compliance. But if the tax authority is compelled to carry out Audit on your agency or employees, you will pay every kobo as far as 6 years back and even a jail term in some cases”, Abdullahi Noted.

By Remi Johnson, Edited By Grace Namiji