Heads to roll as FG investigates over 200 tax fraud tips(Nigeria)

FEDERAL Government says it has begun the investigation into over 200 whistle blowing tips on tax officials and taxpayers which involve under declaration of taxes as well as demand by taxpayers and receipt of gratifications by tax officials.

The Government through the Federal Ministry of Finance has also commenced the process of sanitizing the tax administration and revenue collection system of dishonest operatives.

Minister of Finance, Mrs Kemi Adeosun, disclosed this on Sunday in Abuja while presiding over the meeting of the Whistle blower Unit in the Federal Ministry of Finance and the Presidential Initiative on Continuous Audit (PICA).

A statement issued by media adviser to the minister, Oluyinka Akintunde explained that the sanitization of the tax administration and revenue collection system was part of the government’s efforts at enhancing the willingness of citizens to pay their taxes.

She confirmed that her ministry had requested and secured the suspension of two senior Tax Officials in Delta and Benue States based on verified tips from Whistle-blowers.

“The Ministry is currently analyzing over 200 additional whistle blowing tips including recordings between tax officials and potential taxpayers in which various practices, designed to reduce tax payable, were detailed.

“These practices include demands for personal gratification by tax officers, promises to procure backdated tax clearance certificates, and offers to conspire to reduce taxes payable.”

In order to deal with the influx of the whistle blowing tips, Adeosun has directed the reorganization of the Whistle blower Unit to fast track reports relating to those in the revenue generating agencies.

“Encouraging our citizens to pay taxes is a matter of law but it is also a matter of trust. Those who work in our tax offices must, therefore, demonstrate the highest level of integrity.

“The Administration of President Muhammadu Buhari understands that to reduce our reliance on oil means every citizen must pay their taxes as and when due.

However, people will not be encouraged to pay if they believe that those involved in the assessment are not transparent or are dishonest. We will continue to sanitize the system and also improve our controls,” the Minister stated.

She assured that the Ministry would continue to root out fraudsters from compromising the integrity of the tax administration and revenue collection system.

She lauded members of the public for volunteering valuable information including voice recordings and other evidence to the Whistle blower Unit in the Ministry.

The Minister further enjoined members of the public to desist from the procurement of tax certificates that were not consistent their true income.

She warned against relying on such documents and therefore advised those who might have procured such tax certificates in the past to take advantage of the Voluntary Assets and Income Declaration Scheme (VAIDS) to regularize their tax profile.


She added, “We have cases of procurement of tax clearance certificates with no corresponding records or assessments in the tax offices. In such cases, although payments have been made there is no underlying assessment. So automatically, we will flag such companies for investigation.

“The data analysis being undertaken within the Federal Ministry of Finance is readily exposing those who have obtained tax clearance certificates that are either forged or are not consistent with their true income levels.”