FIRS records tax revenue ₦5.5 trillion in first half of 2023

The Federal Inland Revenue Service (FIRS) has announced a remarkable achievement, surpassing expectations by recording a total tax revenue collection of ₦5.5 trillion in the first half of 2023.

This significant milestone was disclosed by Muhammad Nami, the Executive Chairman of the FIRS, during a presentation of the 2023-2024 tax revenue outlook to the National Economic Council at the Presidential Villa in Abuja.

Nami expressed his delight with the achievement, labeling it as "the highest tax revenue recorded by the Service in any first six months of a fiscal year."

The 2023 Half-Year Collection Report demonstrated that the FIRS had surpassed its target by achieving over one hundred per cent of the projected revenue for the first half of the year, which was set at ₦5.3 trillion.

According to the report, the tax revenue collected from the oil sector from January to June 2023 amounted to ₦2.03 trillion, slightly lower than the target of ₦2.3 trillion. However, the non-oil tax collection proved to be a significant driving force, reaching ₦3.76 trillion, exceeding the target of ₦2.98 trillion.

Nami attributed the impressive performance to improved voluntary tax compliance, a result of the FIRS' efforts in automating tax administrative processes. The ease of conducting tax-related tasks has encouraged more taxpayers to fulfill their obligations promptly.

"This is a good head start as we work towards meeting our target for the year. And it was achieved despite stubborn headwinds, such as the impact of the currency redesign and 2023 General Elections on the economy in the first and second quarters of 2023," said Nami.