Effective Taxation is Backbone of National Development

Posted by African Examiner Banking & Finance, Business News, Latest Headlines, News Sunday, May 11th, 2014

Oyewale Oyelola

Effective taxation and prompt payment of tax have been described as backbone of emerging economy like Nigeria.

The Head of Tax, Deloitte leading international Audit and consulting firm, Fatai Folarin said this in Media Interview aired on Channels Television monitored by our correspondent in Lagos.

According to him, “Nigerians must develop tax paying culture for meaningful economic growth to happen in the country. Taxation is agent of development, revenue from tax will be use to develop the country”

Folarin said effective taxation is the bedrock of national development, lamenting that tax payment rate is still low in Nigeria after 50 years independence.

“The tax payment rate is still very low in Nigeria. Effective taxation is agent of national development, revenue generated from tax will be use for development of the country. Aside that, citizens would have opportunity to challenge the government and ask questions on how their money were being use.

“Look at what is happening Lagos state where Fashola is investing tax payers money on infrastructure development. You will see ‘tax payers money at work’ on all Lagos state project.” He said.

Folarin stated that policy thrust, law and effective administration of tax are very key to effective taxation.

He disclosed that the just concluded World Economic Forum on Africa will open up Nigeria economic to foreign investors, adding this will increase revenue because foreign investors are already used to tax paying culture.

According to him, “I see World Economic Forum Africa holding in Nigeria as opportunity to tell Nigerians that, we need to harness our potentials for National development. We have challenges and we must see the challenges as opportunities to develop our economic.

“Nigeria is no longer the same, this is not the country of 10 years ago. We are no longer taking about debt relief. The new GDP figure is raising expectations of foreign investors. I must tell you majority of Nigerians are capable of working. Therefore, the skilled workers are already available for investors who are willing to establish in the country.”

Folarin called on Nigerians should develop interest in Nigeria and work as agent of change, adding nobody will develop our country for us.

Speaking on insecurity, He urged Nigerian press to responsible in their reporting.

He added that, “Security issue is not what we should be discussing in the press. The press must be more responsible. Look at what happen in United States, we only heard announcement of the killing of Osama Bin Laden. I think our leaders should be trained on information management of terrorism issue”.

Folarin expressed confidence that WEFA will showcase Nigeria economic to the world, thereby aiding economic growth.