Ekiti monthly IGR rises to N2.7bn without new taxes – Official

Ekiti State's Internally Generated Revenue (IGR) reached N2.7 billion in May and June of this year, marking a notable increase compared to N2.1 billion recorded in January. This rise occurred despite the absence of new tax introductions or increases in existing tax rates, according to officials from the Ekiti State Internal Revenue Service (EKIRS). The achievement represents 51 percent of the state's projected annual revenue target for 2026, set for the first half of the year. The Executive Chairman of EKIRS, Olaniran Olatona, shared these figures during a live radio program titled "Ekiti Today," which was broadcast from Ado Ekiti, the state capital. He credited the improvement in revenue to enhanced voluntary tax compliance, digital tax administration, public education initiatives, tax reforms, an empowered workforce, and the supportive environment fostered by Governor Biodun Oyebanji's administration. Olatona emphasized that the increase in revenue was accomplished without resorting to enforcement tactics such as roadblocks or shutting down non-compliant businesses. Instead, EKIRS concentrated on broadening the tax base, preventing revenue loss, and employing technology and data analytics to enhance tax management. He praised the residents' increasing willingness to fulfill their tax duties, linking this trend to the developmental projects undertaken by the state government. Many taxpayers, he said, became more inclined to comply after recognizing the purpose behind taxation and believing their contributions were being used effectively for the state's progress. Olatona warned residents handling Certificate of Occupancy and Tax Clearance Certificates to be cautious of fraudsters, stating that individuals involved in tax-related scams would face arrest and prosecution. Businesses, he explained, are evaluated based on their financial records, and those unhappy with an assessment have the legal right to object within 30 days by contacting the agency's chairman for a review. To boost compliance, EKIRS has ramped up awareness efforts and worked alongside the Office of the Head of Service and the Office of the Secretary to the State Government to ensure civil servants and political leaders adhere to tax filing mandates. Defaulters face penalties of N100,000 for the initial month of non-payment and N50,000 for each subsequent month, along with any unpaid taxes owed. Addressing the temporary scarcity of vehicle number plates, Olatona mentioned that EKIRS has joined forces with the Federal Road Safety Corps (FRSC) to tackle the issue. Following discussions with FRSC officials in Lagos, the state received an extra 1,000 number plates. Security agencies were instructed to demonstrate tolerance toward commercial motorcycle operators impacted by the shortage until the distribution process is complete. Olatona refuted allegations that recent tax reforms placed additional burdens on residents, noting that certain taxes, such as consumption tax, are no longer collected by the state under the present legal structure. He encouraged residents to acquaint themselves with current tax regulations to better comprehend the tax collection roles of federal, state, and local governments. Olatona reiterated that the Oyebanji administration does not meddle in EKIRS operations, dismissing rumors suggesting plans to implement new taxes as untrue. He stated that the agency will persist in focusing on technology-based revenue administration, data intelligence, and voluntary tax compliance to bolster revenue generation while maintaining economic growth in the state.