Budget Financing: Nigerian Professionals lash out as FIRS Generated N4.3 trillion in 10 Months


It has emerged that Nigerian professionals are not happy with the Federal Inland Revenue Service, which announced the generation of N4.3 trillion from January to October, 2018 recently. Mr Babatunde Fowler, the agency boss, noted that “the agency focused its attention on businesses with over a billion Naira in annual turnover without any record of commensurate payment of tax obligations to boost its revenue performance.
“We encourage the business community and all well-meaning citizens to continue to partner with us to ensure that defaulters are traced and face the consequences while compliant businesses receive all the support they require,” he said.
Since the announcement, Nigerian professionals and public analysts have been wondering on the government’s intent to seek loans for the 2019 budget financing despite the huge revenue being generated by various agencies like the FIRS, Customs Service among others.
“It is a pity that the government is not doing anything with the huge amount of money generated by her agencies. N6 trillion in budget 2018 and only FIRS made N4trillion. Then, tell me why other agencies will not make N2 trillion each to equate the budget. Crude oil is on the high side more than the budget benchmark. What is the FG doing with all these money,” Patrick Ihezie Njoku stressed.
Replying Mr Njoku, Dr Wilson Alli notes that “The difference between budgeted and realistic crude oil earning is equally shared between the three tiers of government. I think it’s about $10-$15 per barrel based on the current $70-$80 per barrel which is highest since 2015. There was a time , I think between 2015-2016 when the crude sale was as low as $30 per barrel no savings could be made, production was lower due to an operational shutdown by the militants in the Niger Delta part of the country, our spending became higher than our earnings this was the main reason the economy went into recession. The much money made pre 2015, when crude was selling for $110-$115 were wasted unaccounted for till date. The difference in crude earnings is always saved in the excess crude account, which the governors have been battling to cancel. The want all earnings shared immediately. We made that mistake before; I don’t think it’s wise, we return to that era of spending everything and with its attendant profligacy and wastage. The truth, if we consume what we earn at once, what happens when there are excruciating situations?. Aside; crude we must go into extensive manufacturing and exportation to earn foreign exchange and the bedrock is the consistent power supply which not currently available.”

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