EXAMINATION OF TAXPAYERS' RIGHTS IN NIGERIA: THE FEDERAL INLAND SERVICE AS A CASE STUDY
Loading...
Date
2018
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
CHARTERED INSTITUTE OF TAXATION OF NIGERIA
Abstract
Introduction
Revenue Authorities all over the world are vested with powers which they exercise over taxpayers in order to ensure efficiency and voluntary compliance. To ensure balance in the tax system, taxpayers also have some basic right enshrined in the tax legislation. This paper’s main objective is to examine the Federal Inland Revenue Service (Establishment) Act, 2007 (FIRSEA) and some of the tax laws it supervises, to identify the basic taxpayers’ rights embedded in it and to see whether these rights are guaranteed and protected. The doctrinal method was adopted in carrying on this research as recourse was made to theoretical work rather than experiment. Primary sources consisting of taxation statutes were examined. Also secondary sources such as existing literature on taxation in text books, journals and internet were consulted. The study found out that the FIRSEA, together with all the tax law it supervises significantly strengthen the FIRS power and conversely trample upon taxpayers’ rights. For example, S.47(5) of the Personal Income Tax Amendment Act (PITAA) which gave the FIRS absolute power to procure information about the taxpayer from any organization undermines the taxpayers’ right to privacy, secrecy and confidentiality. Likewise, S.28(1) & (2) of the FIRSEA , 2007 which allows the FIRS to break through the bank secrecy regulation. Consequently, the study recommends amongst others, that all the provisions of the Act which inhibits the exercise of the taxpayers’ rights should be amended to mitigate the hardship as well as strengthen tax compliance. The paper concludes that there is the need for taxpayers’ rights to be respected without compromising the FIRS ability to assess and collect tax.
Description
Keywords
Citation
JOURNAL OF TAXATION AND ECONOMIC DEVELOPMENT VOL.17, ISSUE 2