The Federal Capital Territory Administration (FCTA) has introduced a comprehensive Strategic Plan for the delegation of revenue collection responsibilities to the Federal Capital Territory-Internal Revenue Service (FCT-IRS). The plan was unveiled by Mr. Adesola Olusade, the Permanent Secretary in charge of FCTA, during a stakeholders’ meeting held in Abuja on Tuesday.
To ensure the successful execution of the delegation process, a Project Management approach has been adopted, characterized by well-structured, organized, and systematic processes. This approach will guide the FCT-IRS through the transition, providing a clear roadmap for implementation.
A Project Steering Committee (PSC), formerly known as the Implementation Committee, has been established as part of the implementation structure. The committee will be chaired by the Permanent Secretary of FCTA and will include the Chairman of FCT-IRS, as well as the Chairmen of the Area Councils, among other members.
The Project Steering Committee, comprising key stakeholders, will play a vital role interritory’s revenue collection system’s efficiency, transparency, and effectiveness providing strategic direction, making critical decisions, and ensuring the project achieves its objectives. Furthermore, the committee will oversee strategic direction, decision-making, monitoring, risk management, and communication functions.
The decision to centralize and harmonize all revenues under the FCT-IRS has been made in the best interest of the Federal Capital Territory and its residents. It was reached after extensive deliberations involving relevant stakeholders. This move reflects a commitment to enhancing the efficiency, transparency, and effectiveness of the territory’s revenue collection system.
Mr. Haruna Abdullahi, the Acting Executive Chairman of FCT-IRS, emphasized that the centralization of revenue collection is a significant step toward creating a more business-friendly environment that will attract investment, stimulate growth, and generate job opportunities. This strategic decision aims to ensure an efficient, transparent, and effective revenue collection system for a prosperous FCT.
Centralizing revenue collection under the FCT-IRS will eliminate duplication of functions, reduce administrative costs, and streamline revenue collection processes. Additionally, it will coordinate all revenue collection activities, reducing potential errors, saving costs, and preventing leakages. The accountability of a single entity responsible for revenue collection will establish a one-stop shop for all revenue transactions and audits, fostering taxpayers’ trust, encouraging voluntary tax compliance, and attracting businesses and investments needed to stimulate economic growth.
Moreover, this centralization will promote efficient data collection and analysis for decision-making purposes. The data obtained will provide valuable insights into revenue trends, taxpayer behavior, areas for improvement in the tax system, and support accurate revenue forecasting. This comprehensive approach will enable the FCT to plan and implement a more effective budget.
Mr. Danladi Chiya, Chairman of the FCT Association of Local Government of Nigeria, expressed the association’s support for the harmonization project. He pledged that the Chairmen of the six Area Councils would work diligently to ensure the success of FCT-IRS in its new role.
The unveiling of the Strategic Plan for delegation marks a significant milestone in the ongoing efforts to enhance revenue collection in the Federal Capital Territory. With a well-defined roadmap and strong stakeholder support, the FCT-IRS is poised to create a more efficient and transparent revenue collection system, ultimately driving economic growth and prosperity for the FCT and its residents.
