The Head, Public Relations of the Revenue Mobilisation Allocation and Fiscal Commission (RMAFC), Mr. Ibrahim Muhammed disclosed that the commission has recovered N58.4 billion unremitted tax revenue belonging to government.
He disclose this in a statement in Abuja. He mentioned that of the amount federal government share of N48.7 billion had been paid into the federation account while balance of N9.7 billion relating to withholding tax has been paid to beneficiary states government.
According to Mr. Muhammed, RMAFC had recovered N4.2 billion unremitted tax revenue in an earlier exercise covering January 2008 to June 2012 and promised that more recoveries will be made.
He further said that its ongoing monitoring and verification exercise on tax collections by Deposit Money Banks appointed by the FIRS and Nigeria Customs Service was in order as it falls within its mandate as contained in Section 6(1) of the RMAFC Act, 2004. The mandate provides that the commission have powers to, among others monitor the accruals to and disbursement of revenue from the Federation Account.
RMAFC, according to the Head Public Relations, is not a tax authority but a revenue watchdog that monitors revenue collections by revenue generating entities like the FIRS, Customs, DPR, NNPC and others that remit directly into the Federation Account.
The revenue streams that accrue into the Federation Account under the watch of RMAFC include tax (Withholding Tax and Vat), royalties, signature bonuses, custom duties, tariff, etc. According to the commission, the clarification became necessary following media reports that challenged the legality of the exercise by vested interests.
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