FIRS clarifies revenue collection channels amid public discussion

The Federal Inland Revenue Service (FIRS) has provided clarification regarding the use of Xpress Payments as part of its national revenue collection system. The agency emphasised that its operations do not involve any exclusive or single-gateway arrangement, and no private entity has been granted monopoly control over government revenues.

According to Arabinrin Aderonke Atoyebi, Technical Assistant on Broadcast Media to the Executive Chairman of FIRS, the current framework for revenue collection is multi-channel and involves several Payment Solution Service Providers (PSSPs), including Quickteller, Remita, Etranzact, Flutterwave, and XpressPay. These platforms are part of a competitive ecosystem designed to make tax payments easier and more accessible for Nigerians nationwide.

Atoyebi clarified that PSSPs are not collection agents and do not earn processing fees or receive a percentage of revenues. All funds collected through these platforms go directly into the Federation Account, without diversion or private control. No PSSP has custody of government funds.

The FIRS highlighted several features of its collection framework, including the inclusion of multiple PSSPs to provide taxpayers with more options, improved efficiency through streamlined monitoring and reporting, opportunities for innovation and job creation in the financial technology sector, and a transparent onboarding process to ensure fairness for all service providers.

The agency also noted that ongoing national tax reforms, led by the Presidential Committee on Fiscal Policy and Tax Reforms, are aimed at enhancing transparency, efficiency, and stakeholder engagement in Nigeria’s economic system. FIRS reaffirmed its commitment to professionalism and the continued strengthening of the nation’s revenue systems for the benefit of all citizens.