Borno State government has deployed enforcement team in Maiduguri, the state capital, to collect all taxes from its citizens to boost its internally generated revenue (IGR) ahead of the anticipated slash in monthly allocation from the federation account.
Chairman, State Board of Internal Revenue, Alhaji Mohammed Alkali told newmen during the enforcement exercise Tuesday in Maiduguri the team was out to collect withholding tax from owners of shopping malls in the metropolis.
He said the tax was 10 percent of the total revenue acrued from rent payments to owners of the shopping malls in line with the law of the state.
“In line with Borno State Harmonised Law on revenue 2020 (as amended), section 15, sub-section 1 paragraph C and section 165 of the same law, the Borno State Board of Internal Revenue (BIR) decided to make enforcement in collection of withholding tax specifically on rented income on 13 shopping malls in Maiduguri Metropolis,” Alkali represented by the board secretary and head legal department, Ardo Buba.
He said the board had earlier issued notices and reminders to concerned property owners on the need to pay their withholding tax to government. He said the enforcement team decided to seal of the 13 shopping malls in the metropolis to propel them to remit their taxes to government. He explained the board would give room to any payee who wish to remit 50 percent now and pay the balance later.
He said government has lost a lot of revenue to many payees for their failure to pay. He explained the recent restructuring at the revenue board led to the revival of extant laws on revenue in the state.
The revenue chief disclosed that government targets about N400 million as IGR for year 2021, adding that it has collected about N100 million in the first quarter of the year. He appealed to the citizens to embrace the government revenue drive and comply with the law to ensure the provision of roads, health care facilities and other essentials.
One of the affected shopping mall owners, Abdul Jidda appealed to government to review its revenue drive, noting that residents of Maiduguri were yet to survive the economic and social impacts of the over a decade insurgency in the state.