WITH the massive infrastructural development across the three senatorial districts of the State, Delta State Government has laid a foundation for a sustainable revenue generation that would guarantee prosperity for Deltans, more revenue sources, and enhanced infrastructure and welfare for the people.
In the era of revenue drive to overcome the challenges posed by the effect of dwindling naira value and lack of funds to execute projects, many states of the federation have shifted from over-reliance on oil revenue sharing to local sources of revenue to shore up their fund intake.
Decades ago, states in the country are caps in hands heading to Abuja, monthly, to obtain their share from the FAAC. Not just the states alone, but local governments, who appeared to be worst hit as their main source of revenue remains from the federal allocation.
Systematically, the states neglected their constitutionally assigned sources of generating money. In the absence of the will to implement or oil the wheels for revenue collection, touts took over, exploiting the citizens and making millions of naira, while the states and local governments wallowed in self-inflicted poverty and begging the federal government for allocation monthly.
It is heart-warming that the period of abandoning revenue to non-state actors is fading. States like Lagos, Delta, Rivers, Kaduna, Ogun, Anambra etc. have woken up from slumber and now exploring areas of raking in extra revenue to increase their internally generated revenue.
So far, we commend the steps taken by the Delta State Government, through the Delta State Board of Internal Revenue Service (DBIRS) to enhance the revenue accruing to the state from both formal and informal institutions in the state.
For instance, the state is targeting nothing less than N130bn IGR in the 2025 fiscal year. This is a result of the whooping sum N122bn already raked in so far out of the targeted N110bn. The Executive Chairman of BIRS, Hon Solomon Ighrakpata, while speaking to journalists shortly after appearing before the House of Assembly Committee on Finance and Appropriation, recently, attributed the success to the willingness of Deltans and residents to pay their taxes.
The development has boosted the government’s confidence in fulfilling its electoral commitments to the people and we commend the efforts of the board and asked the officials not to rest on their oars.
In all, it portrays the level of confidence the people now have in the government of the day due to the development projects spread across the nooks and crannies of the state.
However, it is not yet over on the quest to pursue increased revenue generation in Delta State. With the positive disposition of taxpayers, as attested to by the BIRS chairman, the onus is on the board to intensify efforts and initiate fresh strategies to achieve the set targets.
Generally, apart from the regular Pay As You Earn (PAYE) tax that has portrayed a lopsided tax collection, the state should explore other areas of taxes such as sales, property, and social insurance. It is also important to state that revenues can be generated from sources such as assets and transfer receipts from businesses and individuals, license fees, fines, and use of state facilities. These are areas the board should consider in pursuing its target.
Besides, the state is blessed with the presence of oil and steel companies that pay huge revenues to government coffers.
Therefore, we urge the board to explore these areas and ensure that funds are earned to execute projects. The board should also block all leakages that may reduce the expected intake. Besides, tax collection should be given a human face in other to encourage individuals and corporate bodies to pay taxes.
We also enjoined Deltans and other residents to appreciate the need to pay their taxes as at when due to make the work of the board easy, while the state government should guarantee judicious use of the funds raised through tax collection.
It is an offence to evade tax payment and, therefore, all hands must be on deck to work towards increased and sustainable tax payments to improve the state’s IGR.
