The Chairman of the Presidential Committee on Tax Policy and Fiscal Reforms, Taiwo Oyedele, has refuted claims that the Federal Government intends to engage consultants, such as Alpha-Beta Consulting, for tax collection.
Oyedele made the clarification during a town hall meeting on the proposed tax reform bills, hosted by Channels Television on Monday.
Alpha-Beta, a firm known for collecting taxes on behalf of the Lagos State Government, has been at the center of debates about outsourcing tax collection in Nigeria. However, Oyedele emphasized that such reliance on consultants undermines the economy and should be discouraged.
“In fact, we had a very interesting debate at the committee level. I wanted to put a language in the law that says no government should use a consultant to collect tax. We think that that is one of the biggest problems in our economy today,” he said. “So I can confirm to you 100 percent there is no plan whatsoever in using a consultant to do any of this.”
He highlighted that the Federal Inland Revenue Service (FIRS) already possesses the infrastructure and capacity to handle tax collection efficiently, particularly through its TaxPro Max platform. According to Oyedele, the platform requires only minor adjustments to accommodate the proposed reforms.
“All that we need to do once we pass these bills is go to that system and amend the language, the algorithm, so that next time MTN is filing VAT returns, there is a request that says tell me the state where they have emanated from,” Oyedele explained.
The same process, he noted, would apply to other major corporations like the Dangote Group and financial institutions, ensuring full compliance without the involvement of external consultants.
Oyedele also addressed concerns about insufficient consultation with stakeholders, particularly state governors, during the drafting of the tax reform bills. He stated that extensive engagements were conducted, including multiple sessions with the National Governors Forum, the National Economic Council, finance commissioners from across the country, and internal revenue service heads from all 36 states and the Federal Capital Territory (FCT).
“We consulted. We had one session with the governors’ forum. We consulted the governor. They won’t say we didn’t consult them. They are saying we need to consult more, which we agree with, because consultation will never end. Even after passing the bills, you must continue to consult,” he said.
Oyedele disclosed that the committee had also sent letters to governors in each geopolitical zone, offering to meet with them and their cabinets. He praised the Governor of Lagos State for his proactive engagement, which included setting up a joint committee to review the reforms.
“We worked for more than six months,” he said, adding that the committee remains open to further discussions to ensure successful implementation of the reforms.
The chairman reiterated the committee’s commitment to creating a transparent, effective tax system that enhances revenue collection without relying on third-party consultants.
