Tax evaders in trouble as Nigerian govt begins clampdown March 31

Tax evaders risk their names being made public, shamed and prosecuted by the Federal Government starting from March 31, for failing to take advantage of the amnesty provided by the Voluntary Assets and Income Declaration Scheme (VAIDS) to regularise their tax profiles.

Finance Minister, Kemi Adeosun, disclosed this on Thursday during a VAIDS stakeholders’ symposium held in Kaduna State and attended by the state governor, Nasir el-Rufai.

Also at the sensitisation programme were the Accountant General of the Federation, Alhaji Idris Ahmed; Executive Chairman, Federal Inland Revenue Service, Mr. Babatunde Fowler; members of the State Executive Council; and business owners.

A statement released by the Media Adviser to the minister, Oluyinka Akintunde, quoted Adeosun as also saying at the meeting that the Federal Government would strictly adhere to the confidentiality clause in the Automatic Exchange of Financial Account Information in tax matters.

This, according to her, was in line with the guidelines of the Organisation for Economic Cooperation and Development.

She added that the Federal Government has the political will to prosecute tax evaders once the amnesty programme was over by March 31, 2018.

“The Federal Government has the political will and data to go after tax evaders who fail to take advantage of the tax amnesty programme. Many Nigerians cannot explain their lifestyles or match their lifestyles, assets and incomes with their tax payment.

“We will close the VAIDS at the expiration of the programme on March 31, 2018. And once the programme is closed, we will name and shame, and prosecute tax evaders,” she said.

Adeosun, speaking on data sharing with foreign countries said that information sourced would be rigorously used for tax purposes.

She said, “The guidelines require that the automatic exchange of financial account information must be specifically designed with residence jurisdictions’ tax compliance in mind rather than being a by-product of domestic reporting for it to be effective.”

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The minister, who said that the automatic exchange of information had become necessary to combat tax evasion and protect the integrity of tax systems, added that VAIDS has been strengthened by the data on financial accounts, property and trusts shared by other countries.

Adeosun therefore, advised offshore asset owners to utilise the VAIDS window to regularise their taxes before the end of the amnesty programme.

She added, “The offshore tax shelter system is basically over. Those who have hidden money overseas are being exposed and while Nigerians can legally keep their money anywhere in the world, they must first pay any taxes due to the Nigerian government so that we can fund the needs of the masses and create jobs and wealth for our people.”

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