Nigerian youths have been hinted that they will form a large chunk of the 45 million tax payers by December 2019, a target set by the Federal Inland Revenue Services (FIRS).
This is according to an expert, Mr Agu David who highlighted the importance of tax paying to select youths at the Poetry meets tax event in Lagos.
His claim was corroborated by President Muhammadu Buhari who informed a joint session of lawmakers on Tuesday during the presentation of the 2020 appropriation bill, that the budget will be funded partly through value-added tax
Mr Agu reiterated the need for Nigerian youths to understand the concept of tax is all about and despite it being statutory, plays a significant role in the socio-economic development of the country.
“Tax is a compulsory financial charge imposed upon a taxpayer by a governmental organization in order to fund various public expenditures. “Failure to pay, along with evasion of or resistance to taxation, is punishable by law. The money you pay in taxes goes to many places. “Tax money helps to ensure the roads you travel on are safe and well maintained. Taxes fund public libraries and parks,” he added.
He explained that the laws are being fine-tuned to ensure that every form of taxes or levies are generated, most recent is the proposed increase of the VAT from 5 – 7.5 per cent, a move currently debated at the National Assembly.
“When being confronted with unpaid taxes we owe the government. Paying taxes will save you from the wasted time and energy of being called in to pay, penalizing you for late or non-payment, even jail time for not paying taxes.”
He also called on the Government to ensure that the tax services should be reformed to make it more flexible to directly reduce defaulters and tax back.