- Post by Admin on sunday, March 05, 2015
The Federal Government has started reviewing the tax compliance records of all contractors who have received payments from the Federal Government and its various agencies in the last seven years.
A statement said this followed the results of a sampling exercise conducted by the Ministry of Finance which found out that only less than 20 per cent of government contractors stated the income received from the Federal Government in their tax returns. From the reviewed contractors, it was discovered that many contractors made no declaration at all.
The sampling exercise showed that some Tax Clearance Certificates, which were presented at the point of contract award, were found to have little bearing to the true value of business conducted by the contractors.
However, the Minister of Finance, Mrs. Kemi Adeosun, has said that with the new multi-agency, data-driven approach, it will be easier for tax authorities to cross check information provided in tax declarations to ensure that the correct taxes are paid.
Photo Caption: Minister of Finance Kemi Adeosun