Opinion: Tapping into Gov Ahmed's tax leadership lessons By Abdulwahaab Oba

Date: 2016-02-15

A popular axiom describes the leader as one who knows the way, walks the way, and shows others the way. But what would we call someone whose lifestyle is continuously defined by streaks of successes or, better still, someone, who, no matter the encumbrances and challenges associated with leadership still re-invents himself to make a success out of every seemingly hopeless situation?

Indeed, with the steadily falling federal revenue allocation to states, it would probably be asserting the obvious that, perhaps, it would take only governors imbued with ingenious transformational ideas and skin-deep leadership skills to fulfill all the electioneering promises in the face of paucity of funds. Across the states, today, even the blind knows that the dwindling federal allocation, following the fall in the price of crude oil worldwide, is inching negatively into the projections of most state governors.

In Kwara State, for instance, the state's allocation has winded down to a frightening all-time low from a monthly average of N3.4billion to N1.4bilion, a development that has left the state government with the option of the miraculous in order to sustain government businesses, pay its workers, as well as fulfill its developmental programme.

However, seemingly looking into his idea's bag or so it seems, the State Governor, His Excellency, Dr Abdulfatah Ahmed, re-invented the leadership skills that endeared him to the people when he served as Commissioner for Finance under the leadership of the current Senate President, Dr Abubakar Bukola Saraki.

Faced with financial uncertainty with many local government authorities unable to meet their financial obligations to the workers , Dr Ahmed has yet evolved globally tested, viable economic strategy that would help mop up funds and block leakages. It involves the use of an easy to use automated tax payment structure, which eliminates multiple taxation and ensures greater transparency. The target is awesome as it would eventually drive the state's revenue target from a monthly less than N800million to N5billion.

This played out as Governor Ahmed on Monday February 8, 2016, commissioned the Kwara State Internal Revenue Service (KW-IRS) and went a step further to launch a Revenue Court to ensure strict compliance and doing so with such a flexible tax disposition that enables tax offenders to settle out of court. Commendable as this idea is, it looks clear that the destiny of all Kwarans is in their hands as KW-IRS hopes to adopt a people-friendly tax procedure that would ensure that the people are happy and responsible to their civic responsibilities as also the government, in redeeming all the electioneering promises to the people in the years ahead.

KW-IRS, otherwise, Revenue House, the governor said at its commissioning, would take far-reaching steps towards making Kwara state more economically sustainable and financially viable amidst the challenges of an evidently turbulent national economy. The new tax collection service, he stressed, would also lead the change towards creating a wide range of revenue pool and ensure that every perceivable loopholes through which government funds take flight are blocked to enable government meet its responsibilities and continually insulate the Kwara economy from the topsy-turvy global oil market.

Interestingly, this is coming at a time very few governors are yet to understand what has happened to them and has since resigned to faith and more often than not, blaming the federal government for their inability to live up to the people's expectations. There is no doubt that most states are financially sick and requires more than mere grandstanding by their chief executives officers to survive the demands of office. This explains why Dr Ahmed deserves the support of all, particularly with several projects lined up for execution.

In the face of dearth of funds. "As a people and state faced with the inevitability of further decline in federal allocation, we urgently need to wean ourselves from the Federation Account, and in so doing, become creative by identifying new sources of revenue and the convenient mode for collecting revenue from existing sources," the governor said.

Indeed, nothing less points the way to a pro-active leadership better than where a leader knows when to set sail a new idea, especially where it has become imperative that the people and government must align their desires to current realities.

According to the governor, the new tax collection policy would not just evolve by simply changing the people or process, but also by deploying a new technology for revenue collection. Instructively, it would seem that Governor Ahmed and his economic team perfected their acts to ensure that nothing is left face down in the quest towards repositioning the state.

Seemingly envisaging that there would always be pessimists, who would never see the creeping light at the end of the dark tunnel, the Kwara helmsman allayed fears that the state’s annual target of N60 billion would be unrealistic. "Truth is, Kwara has a steadily growing population, commerce, resources and opportunities. All that is needed is the strong-will to ensure the state remains above the financial commitments it has towards the people.

"It is our resolve to create and ensure a steady growth of the Kwara economy across all sectors, as well as provide a conducive business environment that will attract new investments to the state such that would promote additional economic development and increase taxable revenue for the state," he told his audience. He continued. "An efficient tax collection system such that we have mapped out has the potentials of making Kwara Economically viable, self-sustaining and also achieving the second highest IGR Per Capita in Nigeria by year 2019."

Governor Ahmed pointed out that the state was already broadening its economic base by taking advantage of emerging opportunities in Solid Mineral Development and agri-business drive, emphasizing that an improved revenue translates to equitable wealth and social amenities distribution, and collective prosperity of the people and urged the people of the state to identify with the Kwara Resident Identification Number (KRIN). "This is a unique number allocated to all residents to enable them access government services while also serving as a form of identification," he stated.

There is no doubt, Governor Ahmed is determined to ensure that Kwara State becomes self-reliant by looking inwards to solve its challenges and to finance its numerous developmental projects. By his purposeful leadership this government has distinguished itself and made Kwara to join the league of states that took far-reaching measures to meet its responsibilities rather than paying lip service to an otherwise urgent situation requiring urgent solution. The revenue initiative presented the climax of a quiet decade-long revolution in the revenue collection system in the state.

The KW-IRS would strive to maintain the integrity of the tax laws and processes by eliminating all instances of multiple taxation and stimulate voluntary compliance so as to advance maximum representation of the populace in executive decision making. Really, who says Kwara isn't working?

Oba, Chief Press Secretary to the Kwara State Governor, writes from Ilorin.

Source

 


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