The Chartered Institute of Taxation of Nigeria (CITN) has advocated for a constant interaction and enlightenment between the tax administrators and the tax payers to ensure mutual relationship in order to reduce mistrust.
The Abakaliki District Chairman of CITN, Barr. George Ukpai, who spoke with Journalists on Sunday shortly after a thanksgiving mass at Saint Patrick’s Catholic Church Kpiri-kpiri, Abakaliki, the State Capital as part of events marking the 40th anniversary of the Institute, maintained that persuasive approach in carrying out tax administration was the magic wand.
He said the Institute which was founded in 1982 was empowered by the law to regulate the practice of taxation in Nigeria. “To curtail this, a very simple thing should be done, enlightenment and constant interaction between tax authorities and the stakeholders/the tax payers.
“The stakeholders should be constantly enlightened on the provisions of tax laws and the requirements for filing tax returns. There should be constant interaction between the two parties, to ensure that a mutual relationship exists between the tax collectors and tax payers.
“There is need to use persuasive approach in tax administration. People that are not enlightened do not know the requirements of the law. They always feel being unnecessarily taxed.
“When they are enlightened they will come to appreciate the need for voluntarily tax compliance. So, enlightenment and interaction are the magic wands in tax administration”, he noted.
On multiple taxation, tax evasion and avoidance, Ukpai noted that the Nigerian tax laws have made sufficient provisions on how to tackle them. He noted that tax evasion is a criminal offence under our tax laws and should be shunned by all tax payers.
He further observed that tax avoidance is a legitimate means of exploring tax loopholes in our laws to the advantage of the tax payers.
“The institute ensures that there’s a meeting point between the tax payers and tax administrators. Where there are cases of tax avoidance the tax authorities will certainly do something to ensure that the tax payers comply with the law.
Also, the law doesn’t support over taxation and when such cases are established, the best thing the payer should do is to raise an objection within the time allowed by law.
“Here in Ebonyi State, if a tax payer feels aggrieved over an assessment, he should file his complaint with the State Internal Revenue Service and if not resolved he should complain to the State Tax Appeal Commission.
The Commission is an independent body that will judiciously look into the matter and determine same on merit. You may also escalate the matter to the Tax Appeal Tribunal or a court of competent jurisdiction where necessary,” Ukpai said.
