Emelam Udo, Umuahia
Abia state Internal Revenue Service (AIRS) in a bid to meet up with the State government’s targeted Internally Generated Revenue (IGR) of N110.6billion in its ,2025 Budget has launched a Withholding Tax Platform and trained its staff on the operation.
This development has equally resulted in the expansion of tax payers platform among others.
This is also coming on the heels of the Alex Otti, the Sate Governor’s signing into law state statutorily approved N 750, 282, 200. 00 billion naira budget for the 2025 year which projected an internal revenue ( IGR ) generation ( IGR ) of N 100.6 billion.
Mike Opoko, a representative of WHT-P was introduced to the AIRS Staff by a Representative of Appmart, who developed the Platform.
The session also featured the Staff training on the Platform operation. Appmart, a Central Bank of Nigeria (CBN ) Licensed company, it was learnt had through its subsidiary named Revotax Ltd, developed several advanced systems that have supported various governments in Nigeria and West Africa with revenue collection.
Anthony Umejiofort, the Appmart Chief Technical Officer ( CTO ) said the new AIRS Withholding Tax (WHT) platform was aimed at improving tax compliance.
He said that Concerned persons could register or log in at wht.abia.tax and validate their Abia State Social Identity Number ( ABSSIN) , upload and review their WHT schedule, and make secure payments online or at any bank.
He added that the Platform automates all Withholding Tax Payments, provides a seamless process for taxpayers in Abia state to handle their withholding tax and make payments, listing among its other key benefits, as allowing taxpayers to redeem their credit notes and apply them to reduce their income tax liabilities in the state.
Udochukwu Ogbonnna, a Professorand the State AIRS Executive Chairman, in bis speech disclosed that Withholding Tax is imposed on those rendering services and or doing contracts whose percentages of the Tax they are liable to pay are statutorily deducted at source by the Companies and Agencies that award them these contracts.
He said that these contract-awarding Companies or Agencies are automatically mandated by the Law to deduct and remit 5 or 10 percent cost of the contracts as applicable , to government while paying the Contractors
According to the Chairman, the essence of creating the WHT-P is to trace the Withholding Tax payers to give them their Full Tax Assessment to ensure they pay their full tax.
” So what we did was to create this platform so that all the Withholding Taxes paid are monitored by the AIRS to ensure that the final/full Tax is paid/collected”.
Ogbonna said that for this WHT- P, AIRS to collaborate with Appmart who provided the ICT know-how, it was AIRS that brought the Human Resources aspect.
When asked by select journalists how this development could impact on increased tax collection in the state, Ogbonna reacted thus
“This implies we are monitoring WHT now unlike before, to trace those Companies /Agents that are supposed to give us the information namely; the Contractors names, addresses, Telephone Contacts, emails etc through which we can reach them to pay their full taxes”
He noted that WHTAX was on persons and private /one-man businesses ( not limited companies) , he added that the essence is to increase the Tax Net , get more People to pay, trace them, do their full tax assessment and collect the Taxes due them.
On the increasing Abia State IGR that has impacted massively on the development of all the state sectors , Ogbonna attributed it to governore Alex Otti’s palpably sustained diligence, commitment, accountability.
He listed some of the challenges to Tax collection as resistance to pay when due, illegal collection, banks reluctance / delays in remitting what is due to government, among others
” We have had to summon banks on this scenario stressing state government’s resolve not to tolerate their further delays in remitting collected Withholding Taxes to government”
He warned against tax defaulting in the state directing potential payers to access the AIRS Website for right information and thus free themselves from the statutory consequences of defaulting.
The AIRS Director of Taxes Mr Chijioke Okoronka described this WHT-P as one that can address some of the challenges of tax collection and positively impact timely and increased revenue collection for the state.
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