The Federal Government has been able to recover N13.8 billion from corporates evading taxes due to tips received from whistleblower, Minister of Finance, Kemi Adeosun disclosed on Sunday evening.
Citing the whistleblower policy as one of the success stories of the Buhari administration, Adeosun disclosed that “since its introduction, we have had 8,373 communications out of which 1,231 are whistleblowing tips. We have carried out 791 investigations and completed 534 of those investigations. Ten are presently under prosecution and we have secured four convictions.”
“Under the Whistleblower Policy, the Federal Government has recovered directly, as a result of tips received from whistleblowers, the sum of N7.8 billion, US$378 million and GBP27,800. We pay the whistleblowers in batches. I want to speak a little bit about this month’s batch.’”
She disclosed that for the first time, the Federal Government is paying out N439 million to about 14 whistleblowers who gave specific tips on tax evaders.
“From the specific information provided on companies which underpaid their taxes, we were able to go in and communicate with the companies. We have been able to recover the sum of N13.8 billion as a result of those specific tips and so we are paying these set of whistleblowers this month. This is different for us because most of the whistleblowers in the past have been about stolen money.
“With the extension of the Voluntary Assets and Income Declaration Scheme (VAIDS), we are getting more tips on tax evasion which of course is a crime against us all. This is just the new trend that we are seeing and we thought it is worth bringing to your attention.
“The whistleblowers on tax evasion are being paid this month (May 2018); this is the first time we have had such numbers where we have been able to conclude either investigation or communication with the companies. The companies have actually paid the money to the Federal Inland Revenue Service. We are paying these whistle blowers their rewards.”
The Minister of Finance assured that the government is going to continue its focus on tax collections.
“The indication we have so far is that the strategy and efforts of this government in that area are working. We have increasing number of people and companies paying the right taxes. We have not introduced any new taxes. Just to restate, these are taxes that people should have paid and these are companies and businesses that are making money in Nigeria. So, I think it is only fair that they pay part of that to help fund the Nigerian economy.
“There is a general awareness that the government is very serious on this issue of tax and we will continue to focus on it. This is the only way we can provide sustainable revenues and development, especially education, health and job creation. We need money but we cannot rely only on oil.
” Today, it is over $72 per barrel but there was a time it was $28 per barrel. We know that oil price could go up and down but it is very important that we also make sure that those who are supposed to pay their taxes do so in full and on time.”
“The Whistleblower Unit of the Federal Ministry of Finance went on a study tour. They were invited by the United Kingdom Government and they visited various agencies in the UK – Serious Fraud Office, the Commonwealth Secretariat, Her Majesty Revenue and Customs and the Financial Control Authority, among others.
“ The team was given a lot of tips and insights on how they operate whistleblowing in the UK. One of the things we are going to do is revise some of our policies and practices based on what we have learnt.”
