Rivers unveils new tax drive, focusing on compliance, digitization, elimination of touting

The Rivers State government has unveiled its tax objective and drive, saying it is about achieving compliance. This was unveiled by Israel Egbunefu, the executive chairman of the Rivers Internal Revenue Service (RIRS) at the first BusinessDay/RIRS tax breakfast meeting in Port Harcourt on Thursday, March 19, 2026.

In a key paper, the RIRS boss said from a compliance and enforcement perspective, one recurring issue they see is that many businesses engage too late with tax. “But the real advantage lies in early and proper planning and clear understanding of the opportunities within the law.”

Public records gleaned online from BudgIT indicated that Rivers State posted N300bn or N25bn per month in 2024 from internally generated revenue (IGR), an amount seen to be the highest in the Niger Delta states. Recent figures have, however, not been immediately available to the public, but sometime in 2025, Gov Sim Fubara had disclosed that the state was getting between N25bn and N28bn per month.

Egbunefu said Nigeria’s tax system continues to evolve and within it were opportunities for those who were informed and deliberate. “That is the difference between businesses that simply comply and those that position themselves for sustainability and profitability.”

The essence of the breakfast meeting jointly mounted with BusinessDay, he stated, and continuous continuous education and engagement exercises along the way, were to achieve high level of compliance in tax obligations.

He warned those still preferring to hide their incomes and financials saying the RIRS has made extensive investigations that have revealed many things that would aid in tracking those under reporting their income.

During the panel session, the chairman talked about persons that obviously had huge incomes but come to present miserly amounts to the Service. “I do not even bother to talk to such persons. I drive them away. Soon, they will hear from us.”

He made it clear that at the RIRS, “Our role is to ensure fairness, transparency, and a level playing field where compliant businesses can operate with confidence, where the system works for everyone. And so we encourage continued engagement and a willingness to approach tax not just as an obligation, but as a part of business strategy.

“We have to considerably eliminate those who go about harassing people for tax. We have our emergency numbers published online (which he shared there). If they come harassing you, if you can’t arrest them, call us to arrest them.”

The RIRS boss commended BusinessDay for what he termed its sustained leadership in promoting economic literacy, responsible policy discourse, and constructive engagement between government institutions and the business community. “This initiative reflects a shared commitment to strengthening Nigeria’s fiscal governance and improving the business environment.”

Harping on the significance of the partnership, the RIRS boss said the collaboration is both strategic and timely. “It aligns directly with our institutional vision to build a tax administration system that is transparent, efficient, equitable and responsive to stakeholder needs, saying in today’s governance landscape, tax administration extends beyond revenue collection.

“It is fundamentally about building public trust, fostering voluntary compliance, strengthening institutional credibility, and supporting sustainable development. The Tax Breakfast Meeting therefore provides an invaluable platform for dialogue, clarity, and partnership between tax administrators and taxpayers.”

Egbunefu, a Knight, said gave key priorities as Comprehensive digitization of tax administration processes; Elimination of revenue leakages; Strengthening transparency and accountability mechanisms; Improving taxpayer service experience; Enhancing inter-agency collaboration; and Promoting ease of doing business within the State.

This, he said, is guided by a clear objective: to create a fair, predictable, and technology-driven tax system that supports economic growth and inspires public confidence.

He said the future of sustainable development in Rivers State depends significantly on the strength, fairness and efficiency of our tax system, and that collaboration is key in achieving this.

Discussing the them: ‘Leveraging Nigeria’s tax laws to enhance profitability, John Ohaka, a professor of Accounting and Taxation, Barrister at Laws, a head of department in the Rivers State University, showed how companies can leverage new provisions to improve cash flows and performance.

He pointed to small company exemptions for companies with not more than N100m turnover per annum and fixed assets N250m. He pointed to the Economic Development Incentive (EDI) which offers a 5% annual tax credit on qualified capital expenditure for up to five years.

Another he pointed at is the Central Tax Collection which reduces multiple taxation and informal charges, improving predictability; the Tax Relief for Low Earners where individuals earning less than N800,000 annually are exempt from tax, increasing disposable income and driving sales for consumer sectors.

Others he mentioned were Research & Development (R&D) Deduction where a 5% deduction reduces tax liability while promoting innovation; Input VAT Recovery which is now allowed on all purchases tied to taxable supplies, thus increasing cash flow; and Simplified Compliance with Mandatory e-invoicing and digital reporting reduce that reduce administrative costs.

He made it clear that Nigeria’s tax laws offer significant opportunities for strategic tax planning and investment incentives. He said businesses can pay less while tax authorities will make more money. “By leveraging these laws responsibly, businesses can improve profitability while contributing to national development and job creation.”

In his welcome address, Patrick Ijegbai, General Manager, Business Development Manager, South-South & East of BusinessDay Media Limited, noted that the RIRS was in good hands under the able leadership of Egbunefu, the Executive Chairman. He commended the chairman for seeing the advantages of the breakfast meeting and decided to partner with BusinessDay to deepen conversations around tax issues in the new tax era as it affects citizens, residents, and businesses in Rivers State.

He equally appreciated Ohaka, Dean of the Faculty of Administration and Management of the Rivers State University, who he said graciously accepted the invitation to share his deep knowledge of tax issues with us.

The panel of discussants included experts from institutes of taxation, accounting, etc, who thrilled the audience by their insightful inputs.