The Ekiti State Internal Revenue Service (EKIRS) has reiterated its commitment to a transparent, equitable, and efficient taxation system while addressing misconceptions regarding its relationship with taxpayers.
In a recent interview, the chairman of EKIRS, Mr. Olaniran Olatona, emphasized that the agency’s operations are firmly anchored in law and are designed to promote mutual understanding and cooperation with the public.
Mr. Olatona highlighted various initiatives undertaken by the agency to enhance tax compliance, ease the burden on taxpayers, and address long-standing issues such as multiple taxation and enforcement actions.
In response to allegations of excessive or arbitrary taxation, Mr. Olatona asserted that all taxes collected by EKIRS are legally mandated. He explained that taxation adheres to three fundamental principles: legality, economic viability, and accounting fairness.
“There is no tax we collect that lacks a legal foundation. We have always emphasized that any individual who believes they are being unfairly taxed is entitled to object within 30 days, as specified by law. Such individuals may present their cases with supporting evidence or seek redress in court. Since I took office in 2022, no one has successfully proven any wrongdoing in our operations,” he stated.
Regarding concerns about the closure of shops and confiscation of goods, Mr. Olatona clarified that enforcement actions are implemented only as a last resort after multiple notices have been issued to defaulters.
“We provide sufficient time for taxpayers to address their obligations; however, some choose to disregard these notices, necessitating our legal intervention. Sealing shops in the early morning hours is a precautionary measure to prevent physical confrontations and ensure the safety of our staff as well as our taxpayers,” he explained.
He further noted that the agency’s autonomy enables it to operate with flexibility while ensuring efficient revenue collection.
Mr. Olatona emphasized that EKIRS is cognizant of the economic difficulties faced by taxpayers and has instituted policies to lessen their burdens.
“We are considerate in our approach, particularly for individuals and businesses affected by the challenging economic landscape. For instance, we provide concessions to struggling business owners and exempt elderly citizens from certain charges when applicable, assessing each case individually to ensure fairness,” he added.
On the matter of multiple taxation, Mr. Olatona clarified that this situation arises from various revenue collectable by different tiers of government under the law. He expressed optimism about the ongoing tax reforms led by President Bola Tinubu, which aim to streamline tax collection and alleviate the burden on taxpayers.
“The proposed reforms at the federal level will address the issue of overlapping taxes. Once enacted, they will significantly benefit taxpayers, especially those with low incomes,” he asserted.
To strengthen relations with taxpayers, Mr. Olatona noted that the agency has embraced technology to simplify the tax payment process. Ekiti citizens can now make payments online from the comfort of their homes, and sensitization campaigns have been launched to educate the public on their tax obligations and the benefits of compliance.
“We are making tax payments as convenient as possible while educating people about the necessity of taxes for development. This has fostered a better understanding and improved compliance,” Mr. Olatona explained.
Responding to claims that taxpayers are not observing the impact of their contributions, he highlighted ongoing infrastructural projects and empowerment initiatives in the state as evidence of the government’s prudent utilization of tax revenue.
“It is disingenuous to claim that the government is not making use of taxpayers’ contributions. If former governors and opposition figures commend the current administration for its achievements, it is evident that the funds are being effectively utilized,” he argued.
The EKIRS chairman also urged taxpayers to meet their obligations, stressing that taxation is a constitutional duty and a shared responsibility.
“Anyone who benefits from government services has a role to play. Those who evade taxes have no moral ground to criticize the government,” he stated.
In conclusion, he disclosed that the agency has made significant progress in enhancing the state’s internally generated revenue (IGR), achieving an impressive increase from 650 million Naira to 1.6 billion Naira recently.
Mr. Olatona reaffirmed the agency’s commitment to fairness and transparency, urging citizens to view the tax process as a partnership dedicated to fostering the growth and development of Ekiti State.