Finance Minister Wale Edun says the federal government plans to end the deductions known as “cost of collection” paid to agencies such as FIRS, Customs, and NUPRC.
The federal government says it is working to stop the deduction of “cost of collection” from gross revenues paid to revenue-generating agencies, including the Federal Inland Revenue Service (FIRS), Nigeria Customs Service, and Nigerian Upstream Petroleum Regulatory Commission (NUPRC).
Minister of Finance and Coordinating Minister of the Economy, Wale Edun, announced this on Wednesday in Abuja during the launch of the National Development Update.
He said, “Funds have flowed to the federation account, but the point is this, efficiency of that spending is critical, and we have been mandated by His Excellency, Mr. President, to take a look at deductions, not just the deductions for cost of collection, but deductions generally.”
Edun added that most deductions were removed during the last FAAC allocation as the government aims for greater fiscal transparency and efficiency to boost development across federal and state levels.