The Nigerian Government through the Federal Inland Revenue Service, FIRS, announced the VAT Direct Initiative, a scheme that would enable FG to collect Value Added Taxes from the informal sector and reduce multiple taxations in the informal economy.

The FIRS disclosed this in a statement on Monday afternoon, stating that it FIRS is partnering with the Market Traders Association of Nigeria to collect & remit VAT from their members especially those in the informal sector using a unified systems technology.

The FIRS is the agency responsible for collecting Valued Added Taxes in Nigeria and other revenues accruable to the FG.

MATAN

The Market Traders Association of Nigeria, founded in 1995, in the statement revealed that it is the largest player in Nigeria’s informal market space with a membership of over 40 million

The FIRS noted that it is partnering with MATAN to collect and remit Valued Added Taxes from their members- especially those in the informal, adding:

“This collaboration is known as VAT Direct Initiative,

“A collaboration between FIRS and MATAN where MATAN promotes awareness on VAT collection and remittance in the marketplace and informal sector, while also simplifying VAT payment and remittance for the marketplace and informal sector using a purpose-built digital platform.

Digital scheme

They also noted that MATAN has a digital platform that enumerates their members giving them a digital ID card and tracks their turnover so that VAT accrued is collected and remitted to the FIRS, adding:

“The Initiative is the first of its kind that will utilize technology to foster collaboration between the FIRS and the marketplace for the collection and remittance of VAT.

FIRS says this will help tackle multiple taxations in the marketplace through partnerships with security agencies to curb the activities of touts and self-imposed tax collectors.

“This will also boost VAR revenue generation for the three tiers of government, which in turn means more money to fund infrastructure and social amenities.”

MATAN members will each receive an ID card upon enumeration, which would contain their Tax Identification Number and other personal details.

What you should know

Nigeria’s Value Added Tax (VAT) increased by 1.75% on a quarter-on-quarter basis, reaching N709.59 billion in Q1 2023.

The manufacturing sector accounted for the largest share of VAT collection in Q1 2023 at 29.65%.

Information and communication followed with a share of 19.29%, while mining & quarrying contributed 12.24% to VAT collection during the same period.

Source: https://nairametrics.com/2023/07/03/fg-announces-plans-to-collect-vat-from-market-traders-informal-sector/

One promised to take us from consumption to production and the other promised to widen the tax regime, Agbado over to you

Come and take na. Easier said than done

See how fast Tinubu is when comes to implementing taxes. If he used that same speed to start implementing policies that will pull people out of poverty it would have been good. I will say it here. Tinubu has nothing good to offer Nigerians.

Tax same person Apc government nearly killed with poor governance, while tax them again?

This order simply means that petty traders, hawkers and artisans will be captured in Tinubu's tax net. Not even the poor living below the poverty line will be exempted.

May this VAT favour me and my family.

Tinubu boys said you people should make sacrifices. Shege reloaded go reset their brain by force.

lordm:
Come and take na. Easier said than done

It be like say agbero never beat you before. You think say na gentlemen dey come collect Tax under Tinubu regime. Go ask those wey experience Tinubu administration for Lagos make dem tell you.

This tax will favour me and my family.
Walai Tinubu is a yahoo boy.

Watching how it unfolds

freemanq:
Tax same person Apc government nearly killed with poor governance, while tax them again?

I thought people were praising Tinubu for increasing the IGR of Lagos State. How else do you intend for him to increase IGR if not taxes?

May this VAT favor me and my family

I pray they apply this VAT Direct Initiative to agberos.

And someday to police checkpoints and lastma. Amen.

I laugh when some people talk about Tinubu transforming Lagos, anybody that witnessed Tinubu's 8 years of governorship, it was all about party, political jamboree and night shift coliseum with Osoba of Ogun state, Lagos was a tight dust bin throughout his tenure while increasing tax in the state.

I'm just laughing at people who have been deceived

Anyway, the taxation will favour me and my family

Damn!

This govt will favour me and my family crew, where are you?

Brendaniel:
I laugh when some people talk about Tinubu transforming Lagos, anybody that witnessed Tinubu's 8 years of governorship, it was all about party, political jamboree and night shift coliseum with Osoba of Ogun state, Lagos was a tight dust bin throughout his tenure while increasing tax in the state.

I'm just laughing at people who have been deceived

Anyway, the taxation will favour me and my family

If the market women can't pay VAT they should go back to their village. May this tax favour me and my family.

This Tinubu of a dreamer is pushing his luck too far. This was how they started the Treasury Single Account only for the accountant general of the federation to share it like sallah meat with his cronies. When you have lost your track and continue on that path, you are going to get lost without coming back. Our founding parents knew that Federalism is the only way for our kind of country, but they want to do bizarre experiments like this attempt. The end of all this would be a total cave in. Adieu Nigeria.

Tinubu wan use tax finish everybody

misano:
See how fast Tinubu is when comes to implementing taxes. If he used that same speed to start implementing policies that will pull people out of poverty it would have been good. I will say it here. Tinubu has nothing good to offer Nigerians.

Are you just finding out? he would come to increase tax with nothing to show for it, with all the Tax collected from Lagos tell me what the governor is doing with it.

Freethinker87:


If the market women can't pay VAT they should go back to their village. May this tax favour me and my family.

Market women can pay tax after which they will add the tax to the prices of goods. If u ask them why, they will tell you na fed govt tax cause am.

U guys should brace up, by the time tinubu is done, even all his e-rats especially on this nairaland will be shading secret tear's in their closet,

When we rejected buhari in 2015, they tagged it hatred,

When we told them Tinubu has nothing to offer, they tagged us IPOB,

We are Just watching in 3D glass.

Igwe9:
One promised to take us from consumption to production and the other promised to widen the tax regime, Agbado over to you

And he concluded that he would reduced the purchasing power of the people.


Abi them no understand the am then.

NO.
LET THE STATES REVENUE TAX SERVICES HANDLE VATS AND PAY 10% OF THEIR COLLECTIONS TO FEDERAL GOVERNMENT.

Tinubu is collecting from everyone left right and center.

You all must pay!

Na to jakpa

Can somebody tell Tinubu to tax the extreme rich people, increase property tax, private jet and luxurious car owners and reduce jumbo salaries package for National Assembly member. Tinubu should let the poor breath na Tinubu

Are you missing PMB yet?

Everyone except the wealthy

Godfullsam:

Tinubu is collecting from everyone left right and center.

You all must pay!