The Federal Ministry of Finance, Budget and National Planning has reaffirmed its determination in blocking all loopholes to revenue generation in the country.
The Director in charge of Special Projects in the ministry, Mr Victor Omata, stated this at the zonal sensitisation workshop on Federal government debt recovery drive through Project Lighthouse Programme held in Kano.
Mr Victor stated that the ministry initiated the lighthouse program with the aim of blocking leakages and loopholes in the aspect of Tax Paying from contractors and other related stakeholders.
“Government was committed in enhancing revenue especially tax revenues, some companies would do contracts with government and refused to pay tax, with this Lighthouse program government would be able to recover those revenues to promote infrastructural development”
The Director noted that the recoveries were made through this lighthouse program, and it has been credited to the federal inland revenue account, which benefits states and local governments.
Omata further explained that data from Project Lighthouse revealed that many companies and individuals who owe government agencies, have refused to honour their obligations while still being paid especially through the government platforms.
The director emphasized that the debts were in the form of debt liabilities to the Federal Inland Revenue Service (FIRS).
According to him, part of measures taken by the Ministry to curb revenue leakages includes; the issuance of a Ministerial directive on 26 September 2019 to all MDAS, with a view to aggregate all government debt across the Public Finance space as well as to have a Single Window on the credit profiles.
“The Federal Executive Council (FEC) regulatory approval on Wednesday 31st March, 2021, to extend the functionalities of Debt recovery Capability of Lighthouse to enable the ministry fully automate the debt recovery process and make settlements of debts as seamless as possible,”
Some of the participants commended the initiative of the ministry for organizing the workshop and promised to step down the knowledge with others.
The workshop was attended by government officials and other stakeholders.
Reporting by Abdullahi Jalaluddeen;Editing by Marian Benjamin & Julian Osamoto