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Africa Housing News > Blog > Business News > For Car Registration, Building Approval And Others In FCT, Tax Certificate Is Now Compulsory.
Acting Executive Chairman of FCT-IRS, Mr Haruna Abdullahi (4th from left) during a courtesy visit to Tax Appeal Tribunal
Business News

For Car Registration, Building Approval And Others In FCT, Tax Certificate Is Now Compulsory.

By Author
Last updated: 2022/12/15 at 7:19 AM
By Author Published December 15, 2022
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Acting Executive Chairman of FCT-IRS, Mr Haruna Abdullahi (4th from left) during a courtesy visit to Tax Appeal Tribunal
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For Car Registration, Building Approval And Others In FCT, Tax Certificate Is Now Compulsory.

The Federal Capital Territory Internal Revenue Service (FCT-IRS) will henceforth require residents to present a Tax Clearance Certificate (TCC) to carry out certain transactions.

Mr Haruna Abdullahi, the Acting Chairman of FCT-IRS said this at a Town Hall Meeting organised by the service in Abuja.

According to the acting chairman, it would no longer be business as usual for residents, adding that transactions such as obtaining car registration and building approval would no longer be possible without TCC.

Other transactions that require TCC include appointment or election into office and stamping of guarantors form for a Nigerian passport among others.

“This gathering is timely and relevant as we aim to provide guidance and insight on the need to demand and verify a TCC.

“This is as stated in the information circular issued by the service on Nov. 4 and Nov. 7 in newspapers within the FCT and national dailies across the country,” he said.

Meanwhile, the acting chairman urged FCT residents and relevant stakeholders to choose voluntary compliance over compulsion.

“It is imperative that a TCC is demanded as a pre-condition for various transactions in the FCT. It is also instructive to note that the law requires such from MDAs and commercial banks.

“Individuals and business owners residing in FCT can easily access a Tax Clearance through our effective and efficient channels,” he said.

He said the failure of relevant agencies to demand and verify TCC presented by an individual could amount to sanctions.

Abdullahi said the sanctions could include conviction with a fine of five million Naira or three years imprisonment or both as stipulated by relevant tax laws.

The FCT-IRS boss said as the relevant tax authority for Personal Income Tax (PIT) administrations, the service had vital role in ensuring strict adherence.

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Abdullahi urged FCT residents to choose voluntary compliance over compulsion, adding that compulsion would only be its last resort.

He said the service had trained its staff on effective monitoring and enforcement procedures.

Abdullahi also said that the members of staff had been trained to investigate violations of any aspect of the tax laws.

According to Abdullahi, while the service is working toward providing taxpayer-centred services, it will not hesitate to take punitive measures against defaulters.

On the process of verification, the acting chairman said the process was easy.

He said “an authenticator can easily scan the quick response (QR) code on the TCC using any android or IOS device to check the genuineness of the TCC.

“However, substantiating genuineness is not enough for revenue mobilisation.

“The relationship between the taxes paid as displayed on the TCC and the total and global income of individuals holding the TCC must align.

“For example, an application for estate development or building approval that presents a TCC with tax paid as low as N50,000 can never be justified.”

The FCT-IRS acting chairman said the service had deployed a variety of measures to ease taxpayer services while leveraging on technology.

He said the filing of tax returns and making of payments had been fully automated.

He also said that the service had fully integrated with the Joint Tax Board (JTB) nationwide platform for uniformityof standards in the application of PIT.

NAN

Source: pmnewsnigeria

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By Author December 15, 2022 December 15, 2022
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