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February 27, 2025

FCT rakes N43.8bn in January, vows criminal proceedings against tax defaulters

FCT rakes N43.8bn in January, vows criminal proceedings against tax defaulters

By Omeiza Ajayi

ABUJA: The Federal Capital Territory Internal Revenue Service FCT-IRS has said it raked in over N43.8 billion in Internally Generated Revenue IGR for the entire FCT Administration in January this year, saying it might commence criminal proceedings against recalcitrant entities and individuals for their serial noncompliance with extant tax laws.

Acting Executive Chairman of the FCT-IRS, Mr Michael Ango disclosed this on Thursday in Abuja during a roadshow to sensitize residents on there tax obligations.

He said while the service believes in voluntary compliance, it would however not hesitate to take advantage of the law which has mandated it to enforce appropriate sanctions against erring individuals or entities.

Ango said; “The last time I spoke to you, we had given you an overview of what our collection was at that time. The year had not ended. At the end of the year 2024, we collected a total amount of N262 billion, as against a target of N250 billion. While this was good, we believe that it can be better.

“In 2025, we have also started very strong. In the month of January, we collected N43.8 billion. And so far, in the month of February, we are also on track. But you see, the reality about these things is that these monies are not manufactured. They are paid from the taxpayers and the residents of this town. So let me reiterate once more. The taxes that we collect in FCT, we collect personal income tax. We collect capital gains taxes from individuals. We collect stamp duties from individuals. We collect property taxes. We collect entertainment tax, which is another tax that we are really focusing on in 2025.

“We also collect several other taxes and fees due to the FCT. And it is also important to clarify that the FCT-IRS works for the entire FCT. What that means is that we are here to collect revenue for the FCT administration, for the area councils, for the secretariats, for the departments, and for the agencies.

“So for the persons who did not file their returns for 2025, the employers, the law sets a penalty of N500,000 and so we have already written to a number of them.

“We are going to write to every one of them. So the minimum penalty is N500,000, but that is just not it.

We also have the power to prosecute you. You know, criminal prosecution, we can proceed against the principal officers of the company. We can go against the managing directors, the directors and whoever we deem is responsible for this non-compliance.

So these are the penalties that the law has put in place. And like I said, we will not hesitate in deserving cases, especially when we see recalcitrant taxpayers who we have reached out to who we have written to, who we have met with and who decide that they will take the path of non-compliance. I can assure you that the FCT-IRS will certainly enforce the laws and will make them to pay what is due because those people who don’t pay, they are taking your money and my money. They are taking your roads away. They are taking your hospitals away. They are taking your schools away and so it is not fair on us as individuals, especially those of us who are paying, that some other persons will then refuse to pay. So the penalties will be imposed.

“But this N500,000, we are writing to them and we are going to give them two weeks maximum to pay up. After which, if they don’t pay, we will then decide what the next line of action is”, he stated.