FCT-IRS establishes unit for taxation of high net-worth individuals

The Federal Capital Territory Internal
Revenue Service (FCT-IRS) has created a dedicated unit for taxation of High
Networth Individuals (HNIs) in the nation’s capital.

Michael Ango, acting executive chairman of the service, in a statement issued by Mustapha Sumaila, head, corporate communications in Abuja, noted that the unit will focus on assessment and collection of income and other taxes as well as oversee compliance and enforcement of tax obligations by HNIs in the FCT.

According to him, “The unit, will also be responsible for interface with agencies of government and other organisations, within and outside the FCT regarding the taxation of HNIs in the FCT.”

Further to the creation of the unit, Michael Ango, acting executive chairman of the FCT-IRS, stated that the FCT-IRS is now focused on the proper identification, profiling and management of high-net-worth individuals within the FCT for tax compliance purposes.

At a meeting to unveil the unit, the acting executive chairman stated that HNIs are “any individual whether in paid employment, self-employed, carrying on business or having passive annual income of N25 million and above in any financial year.”

He therefore urged all taxpayers that fall within this category to comply with their tax obligations and pay up all outstanding liabilities within two weeks.

“For our HNI taxpayers, we believe it is in our mutual interest that they comply voluntarily and we have identified over 10,000 of such individuals, with income in trillions of Naira, to
whom we have started to send notices. We expect that they will respond and comply voluntarily, otherwise, we will apply the relevant provisions of the law and exercise our powers to recover all the outstanding liabilities.”

It will be recalled that since resuming
office, Ango has consistently emphasised the need to enhance revenue generation in the FCT.

The acting chairman stated that he would continue to take steps to ensure compliance by all taxpayers, irrespective of status and enjoined all residents of the FCT to continue to support the efforts of this administration to improve the
infrastructure and public services in the FCT and satellite towns by paying their taxes.