The Commissioner of Finance Ekiti state and Chairman Forum of state Commissioners of Finance of the Federation, Akin Oyebode has described the tax bills introduced by the Presidential Committee on fiscal tax policy and Federal Inland Revenue service on revenue derivation as a long overdue tax reforms to enhance economic growth and development in the country.
He made disclosure during an interview with our Business Correspondent at the 5th edition of the National Treasury workshop held in Abuja on Monday.
Mr. Oyebode said ” the workshop is coming at a period when the country is undergoing its tax reforms in the legislature and if you think about some of the bills that have been brought by the FIRS and Presidential committee on fiscal tax policy they actually a set of long overdue reforms of our tax laws.
” So we must interrogates those bills which will become laws with some of aspirations in terms of growing non oil revenue that is vital because the country is in the process of renewing it economy.
” There is a Gross Domestic Product rejigging exercise that is going which the sizes of the economy is likely to expand which means our taxes in GDP ratio is likely to drop to ensure that our taxes penetration is deepening.”
According to him the event is a well intentioned and planned considering the fact that the theme is focused on non oil revenue sector of the country.
He said ” as you know Nigerians have paid too much attention to the oil revenue and we have been over reliance on the oil Sector revenue.
On the raising external debt, the Commissioner outlined that we know what the borrowing is used for as we are going to pay back the loans and are they put into productive activities that allows you to deepen your economy and revenue base.
He said “we must be more intentional with the kind of debts that we are taking as it’s seen in most geopolitics all over the world the aid industries is shifting quickly and foreign aid not longer exists. It means that anybody who is giving you capital today is doing it as a loan or equity in exchange for a return.
Oyebode equally advised that we must be mindful of the foreign exchange rates (dollar to Naira) which harper our ability to replay those loans.
