We’ve deployed technology to make tax compliance easier, cheaper for taxpayers – LIRS
The Lagos Internal Revenue Service (LIRS) has revealed that it is leveraging technology to simplify tax compliance for individuals and businesses, making it more affordable and user-friendly.
Abideen Akande, the Special Adviser to the Executive Chairman of LIRS, stated this while speaking as a guest on Business Incorporated on Channels Television on Monday.
According to Akande, the agency is in continuous efforts to modernize its processes, ensuring that taxpayers have a smoother experience when fulfilling their tax obligations.
Speaking about the ongoing developments, Akande explained that over time, technological advancements have revolutionized the way taxes are managed and collected.
The LIRS, he said, has been keen to incorporate these innovations to improve efficiency and reduce the burden on taxpayers.
“Essentially what we have is that over time, technology has evolved. And what we have tried to do is to deploy it in such a way as to make compliance easier and cheaper for the taxpayer. That is the goal. That is what we do in LIRS,” he stated.
A More Seamless Tax Experience in 2025
Akande assured that the LIRS is committed to making substantial improvements to the taxpayer experience this year.
According to him, taxpayers can expect an enhanced digital interface and faster service delivery.
“2025 is not going to be any different from what we have been doing. There is going to be a massive improvement in what the taxpayer experiences in 2024. That one I can assure you,” Akande affirmed.
He indicated that one of the major areas of improvement would be in the automation of various services. For instance, LIRS has already automated processes for obtaining tax certificates, making it easier and faster for taxpayers to get their documents without having to go through cumbersome paperwork.
Web-Based Service for Easy Taxpayer Interaction
The LIRS has already rolled out a web-based platform that taxpayers can use to access various services. This online system allows users to make tax payments, file returns, and obtain necessary documents such as tax clearance certificates.
Akande emphasized that the introduction of this platform is a critical step in modernizing the agency’s operations, ensuring that taxpayers can interact with the LIRS from the comfort of their homes or offices.
“The web-based service that is already deployed allows taxpayers to complete transactions with the agency at their convenience, without the need for physical visits. We believe this will reduce congestion in our offices and provide a more efficient service,” Akande explained.
The LIRS is also focused on improving communication and engagement with taxpayers. By integrating technology, the agency aims to provide real-time support and feedback to individuals and businesses, further encouraging compliance.
With the ongoing digital transformation, the LIRS is setting the stage for greater tax compliance, improved revenue collection, and a more sustainable financial future for Lagos State.
The technological strides made by LIRS come as part of Nigeria’s broader efforts to modernize tax administration, making it easier for citizens to comply with their tax responsibilities while enhancing the efficiency of the revenue generation process.
What you should know
The LIRS has been at the forefront of digitizing tax collection in Nigeria, particularly at the sub-national level.
- The agency has pioneered various technological innovations to streamline the tax process, improve compliance, and increase efficiency in the collection of state revenues.
- In December 2023, LIRS unveiled its upgraded consumption tax collection platform, the Eco Fiscal System (EFS), specifically designed for the hospitality sector in Lagos State.
- This new platform is part of LIRS’ ongoing efforts to modernize tax administration and create a more transparent and user-friendly experience for taxpayers.
- Additionally, the e-tax platform, also known as Enterprise Tax, has been a game-changer in improving access to tax information, facilitating the filing of returns, and enabling taxpayers to make payments seamlessly. The platform allows users to easily obtain their tax clearance certificates, further enhancing the efficiency and accessibility of the tax process.