KW-IRS RECORDS 6.2 BILLION IGR COLLECTIONS IN 2020 Q4

The year 2020, in spite of the imbalances created by the Covid-19 pandemic, was remarkably progressive for Kwara State Internal Revenue Service (KW-IRS) as it generated a sum of N6,236,099,973.42 (Six Billion, Two Hundred and Thirty Six Million, Ninety Nine Thousand, Nine Hundred and Seventy Three Naira, Forty Two Kobo) in the fourth quarter of the year.
A breakdown of the revenue generated monthly in Q4 2020 is presented below

The Service had a remarkable Q1 before the COVID-19 pandemic took full effect on the economy. Due to the lack of physical contacts with some taxpayers for collections as well as the lockdown, there was a huge dip in revenue generated in Q2 2020 which extended into Q3 2020. By the last quarter of 2020, there was a substantial recovery from the crippling effect of the pandemic on businesses and Internally Generated Revenue (IGR). For the entire year, KW-IRS recorded a total revenue of N19,638,093,516.56 which is 75.54% of the N25,997,573,296.00 revised annual budget.

The year 2020 was marked with quick implementations of various measures to cushion the effects of the pandemic on taxpayers which included the donation of palliatives, extension of the deadline for filing Annual Returns from 31st March to 30th September, 2020, 30% waiver on arrears on ground rent and land charge for property owners and land occupiers, granting of moratorium to informal sector taxpayers, suspension of all enforcement activities, waiver of penalty and interest for High Net Worth Individuals (HNIs) and Corporate Organisations and over 30 Community Impact Programmes (CIPs).

The Service also accelerated the implementation of its automated systems to reduce the amount of contact required with tax payers for optimal revenue generation.
As evidenced by Kwara’s recent achievement of $16.9m in SFTAS Annual Performance Assessment (APA) for 2019/2020, KW-IRS has ensured accountability and transparency in its internal processes and reporting. The Service has also improved significantly in its sequential and systematic reporting through the social, print, broadcast and electronic media. The activities of KW-IRS in year 2020 as well as the remarkable performance recorded irrespective of the snags caused by months of lockdown are pointers to its commitment to the welfare of taxpayers, staff, and stakeholders and in improving the revenue drive of the State.

However, the Service is still experiencing a huge incidence of low tax compliance in the State. KW-IRS will be implementing all year round sensitization and enforcement, with a view to reduce incidences of tax evasion and under remittances. The year 2021 will also herald continuous automation of all relevant revenue lines which will change the mode of collection in several touch points across the State. The Kwara State Internal Revenue Service (KW-IRS) is appealing to all tax payers and stakeholders in the State to join the Service in the improvement of IGR for the State to help the Governor Abdulrahman Abdulrazaq led administration fulfil its obligations to the populace.

Signed
Shade Omoniyi
Executive Chairman, KW-IRS