Kaduna targets N85bn revenue with tech-driven tax reforms

The Kaduna State Internal Revenue Service has projected an internally generated revenue of about N85 billion by the end of 2025, as it continues to strengthen a fair, transparent, and technology-driven tax administration system.

The Executive Chairman of KADIRS, Mr Jerry Adams, made this disclosure during his address at the 2025 KADIRS Tax Dialogue held on Monday in Kaduna.

The theme of the dialogue was “Transforming Tax Administration for the Future: Navigating the Procedural and Practice Shift Signaled by the Nigerian Tax Reform Act and Enhancing Compliance Into 2026 and Beyond.”

Adams said the dialogue aimed to help stakeholders understand the procedural changes introduced by the Nigerian Tax Reform Act 2025 and identify practical strategies for implementation at the state level.

He noted that KADIRS had steadily improved revenue performance, from N58 billion before 2023 to N62 billion in 2023 and N71 billion in 2024.

He added that “the state is currently trending around N85 billion, with an average monthly revenue of N7 billion,” reflecting steady growth driven by reforms, efficiency measures, and strengthened collaboration with MDAs.

Adams attributed the progress to Governor Uba Sani’s commitment to infrastructure development, security, and inclusive governance, which has increased public confidence and encouraged voluntary compliance.

He said the governor’s support had also accelerated manpower expansion, improved staff welfare, and facilitated technological innovation, including the PAYKADUNA portal, which enhances transparency and efficiency.

Adams disclosed that the state government had approved a committee to review and update the Kaduna State Tax Codification and Consolidation Law to fully align with the National Tax Act before January 2026.

He added that insights from the dialogue—particularly on legal implications, corporate communication, and implementation planning—would guide the amendment process and improve revenue mobilisation.

He acknowledged the support of Kaduna State MDAs, technical partners such as Primeguage Solutions, and national stakeholders like the Joint Tax Board for strengthening the state’s tax administration system.

He urged participants to engage openly, challenge assumptions, and offer practical recommendations to shape the evolution of Kaduna’s tax ecosystem for the benefit of businesses, citizens, and government.

In his remarks, Governor Uba Sani said building a resilient revenue system requires collective responsibility and sustained collaboration. Represented by his Deputy, Hadiza Balarabe, Sani noted that global economic changes are reshaping tax systems to reflect digital activity, informal sector growth, and evolving labour patterns, acknowledging the Nigerian government’s commitment to far-reaching reforms to modernise the tax landscape.

“The reforms align with Kaduna’s agenda to simplify processes, eliminate duplication, reduce compliance friction, and place data at the centre of decision-making,” Sani said.

He added that taxation must not punish poverty but draw from genuine income to ensure fairness while expanding revenue to support schools, healthcare, rural roads, water systems, and security infrastructure that protect communities and businesses.

Sani said trust in public systems is central to compliance, adding that tax administration must treat citizens with respect and provide clarity, not intimidation.

According to him, reforms are designed to grow the local economy, expand investment opportunities, and create pathways for young people to aspire to better livelihoods.

The governor said the state would strengthen inter-agency collaboration, expand staff capacity, and prioritise taxpayer engagement and service delivery to build confidence in the system.

He urged business leaders, financial experts, civil society, and community representatives to engage constructively, noting that the strength of the state’s tax system depends on shared conviction and fairness.

Also speaking, Muhammad Dattijo, Deputy Governor, Economic Policy Directorate of the Central Bank of Nigeria (CBN), said the Nigerian Tax Reform Act represents a major step toward strengthening fiscal governance and improving the country’s economic resilience.

He added that the reforms would boost non-oil revenue, expand the formal economy, and reduce reliance on deficit financing, thereby supporting monetary stability and long-term development planning across the federation. Dattijo urged states to leverage technology and data-driven systems to improve efficiency and transparency in revenue collection, adding that collaboration with the private sector and financial institutions would be critical to achieving sustainable tax compliance and growth.

In a keynote presentation, Mr Taiwo Oyedele, Chairman, Presidential Committee on Fiscal Policy and Tax Reforms, said the reforms aim to create a fair, growth-driven tax system that supports national development and economic stability. He said the committee is working to simplify tax laws, harmonise revenue collection, and eliminate multiple taxation that places a heavy burden on individuals and businesses across the country.

Oyedele explained that enhanced transparency, technology-based administration, and broader tax education would help boost voluntary compliance, improve the business environment, and strengthen government revenue.

The lead paper presenter, Dr Bagudo Mustapha, said the fiscal reforms would only succeed if supported by strong institutions, clear accountability, and consistent political will at all levels of government.

He said Nigeria must prioritise efficiency in revenue administration and block leakages, adding that growing reliance on borrowing for public expenditure is unsustainable and harmful to long-term growth.

Mustapha urged government agencies to adopt modern data systems and collaborate with stakeholders to ensure that tax policies promote fairness, encourage investment, and reflect economic realities.

(NAN)