Tax Clarity and Investor Confidence Depend on Judiciary’s Insight — FIRS Boss
The Executive Chairman of the Federal Inland Revenue Service (FIRS) has commended the Nigerian judiciary for its “sound and consistent” tax rulings, describing them as pivotal to strengthening investor confidence and maintaining a fair and predictable tax environment.
Speaking at a capacity-building workshop for Justices of the Supreme Court, Court of Appeal, and Judges of the Federal High Court on new tax laws, the FIRS Chairman applauded the National Judicial Institute (NJI) for organizing what he called a “timely and essential” training session.
Source: UGC
Judiciary’s role in shaping Nigeria’s fiscal landscape
According to the FIRS boss, recent reforms—spanning the Finance Acts, Petroleum Industry Act, and other fiscal legislations—have “significantly reshaped Nigeria’s tax ecosystem.”
These changes, he noted, demand a stronger collaboration between the judiciary and tax authorities to ensure effective interpretation and implementation.
“The judiciary, through its interpretative powers, remains the ultimate arbiter in maintaining the delicate balance between the legitimate powers of tax authorities and the rights of taxpayers,” he said.
He emphasized that the courts’ consistent and reasoned pronouncements had provided stability, fairness, and predictability in Nigeria’s tax administration.
Timely judicial decisions drive investor confidence
Highlighting the importance of swift and consistent rulings, the FIRS Chairman noted that timely resolution of tax disputes plays a crucial role in boosting voluntary compliance and investor trust.
“Tax disputes that are resolved promptly and based on clear judicial principles foster compliance and contribute to economic stability,” he explained.
He pointed out that investors and businesses thrive in an environment where tax policies and rulings are predictable—something Nigeria’s judiciary has helped to maintain through its professionalism and clarity.
Strengthening partnership between judiciary and FIRS
Reaffirming the Service’s commitment to continuous partnership with the judiciary, the FIRS Chairman said collaboration remains key to sustaining progress.
“As key stakeholders in the Nigerian tax system, we must continue to strengthen collaboration, foster dialogue, and develop mechanisms that promote early and effective resolution of tax disputes,” he stated.
He revealed that the FIRS will continue to support judicial capacity through regular engagement, technical assistance, and knowledge-sharing initiatives.
Adapting to global tax challenges
The FIRS boss also underscored the increasing complexity of taxation in a globalized and digital economy.
With cross-border transactions and digital trade expanding rapidly, he said continuous judicial education is essential to ensure accurate interpretation of evolving tax laws.
“The global digital economy continues to present complex tax challenges, making judicial education more vital than ever,” he noted.
Towards a more equitable tax system
In conclusion, the FIRS Chairman expressed confidence that the knowledge gained from the workshop would further strengthen judicial insight, enhance the quality of rulings, and promote fairness in Nigeria’s tax system.
Source: Twitter
“Your insights and judgments shape the credibility of our tax system. Together, we can build a more efficient, transparent, and equitable tax environment for Nigeria,” he said.
FG Asks banks to report monthly transactions to FIRS
Legit.ng earlier reported that the federal government has directed banks and financial institutions to begin submitting monthly reports of transactions exceeding N25 million for individuals and N100 million for corporate entities to the tax authorities.
This directive is part of new provisions under the Nigerian Tax Act, which also mandates financial institutions to file quarterly reports with the Federal Inland Revenue Service (FIRS).
Notably, the agency is set to be renamed the Nigeria Revenue Service (NRS) starting January 2026, when the revised tax framework becomes effective.
Source: Legit.ng
