The Kaduna State Internal Revenue Service (KADIRS) has outlined a strategy to expand the state's internally generated revenue (IGR) through a broader tax base, digital tax administration, and improved taxpayer compliance. This approach is anchored on the implementation of the Nigeria Tax Act, 2025, and the Nigeria Tax Administration Act, 2025, which took effect on January 1, 2026. The goal is to strengthen domestic revenue mobilisation and finance public services.
Ibrahim Muhammad, Kaduna State Commissioner for Finance, stated that the reforms aim to address inefficiencies in tax administration, improve revenue collection, and strengthen public confidence in the tax system. He emphasised that increased domestic revenue is crucial to meeting the state's development obligations, given the limitations of federal allocations. The government's priority is to expand the number of eligible taxpayers rather than increase the tax burden on those already complying.
Muhammad identified accurate taxpayer registration, improved assessment and collection, reliable data management, and integration of government revenue records as critical to implementing the reforms effectively. He urged KADIRS to strengthen taxpayer identification, promote electronic filing and payments, reconcile revenue records, and collaborate with ministries, departments, and agencies to identify compliance gaps. Public awareness of applicable tax reliefs and exemptions, particularly for eligible low-income earners and small businesses, is also essential.
Mohammed Lawal, Acting Executive Chairman of KADIRS, said the quarterly stakeholders' engagement was designed to strengthen communication between the revenue authority, taxpayers, businesses, government agencies, and other stakeholders. The meetings provide an opportunity to identify challenges in tax administration, receive complaints, and obtain recommendations for improving service delivery. Lawal highlighted automation, taxpayer sensitisation, improved compliance procedures, and grievance resolution as key priorities of the service.
KADIRS has established a standing committee to address taxpayer complaints and introduced additional channels for receiving grievances, including a voice-interactive complaint resolution system. Feedback from stakeholders is reviewed and incorporated into the service's administrative processes where necessary. Lawal reaffirmed that KADIRS is responsible for domestic revenue mobilisation in the state and that effective engagement with taxpayers remains central to achieving sustainable revenue growth.
James Kanyip, Kaduna State Attorney-General and Commissioner for Justice, said successful implementation of the tax reforms would depend on respect for the rule of law, institutional cooperation, and adherence to due process. He highlighted the judiciary's responsibility in interpreting tax legislation, protecting taxpayers' rights, upholding the lawful powers of revenue authorities, and resolving disputes. Kanyip also explained the distinction between tax avoidance and tax evasion.
Ali Gora, KADIRS Executive Director, Standards and Compliance, stressed that sustainable revenue growth requires more than increased collections, emphasising the importance of consistent administrative standards, effective monitoring, professional conduct, and equitable treatment of taxpayers. The implementation of these reforms is expected to improve revenue collection and strengthen public confidence in the tax system, ultimately contributing to the state's development obligations.
Key points
- The Kaduna State Internal Revenue Service (KADIRS) is implementing tax reforms to expand the state's internally generated revenue (IGR) through a broader tax base and digital tax administration.
- The reforms aim to address inefficiencies in tax administration, improve revenue collection, and strengthen public confidence in the tax system.
- The successful implementation of the tax reforms depends on respect for the rule of law, institutional cooperation, and adherence to due process.
