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By Gabriel Dike, Lagos
Worried by the decline in the collection of Education Tax (EDT), the Tertiary Education Trust Fund (TETFund) and Federal Inland Revenue Service (FIRS), have mapped strategies to increase the collection of EDT nationwide.
The Executive Secretary of TETFund, Prof Suleiman Bogoro, expressed concern over the drop in education tax collection as a result of the COVID-19 pandemic.
Prof Bogoro made the observation in Lagos at TETFund and FIRS 2021 Joint Interactive Forum with the theme: Improving EDT collection in the post-pandemic era”. The event attracted beneficiaries’ institutions and lecturers from the South West.
He explained that the interactive forum has become a yearly event, which serves as a platform to showcase how funds have been used in the tertiary institutions.
Bogoro disclosed that in 22013, FIRS collected N270 billion as Education Tax and N189 billion was realized out of the expected EDT of N300 billion. He said the decline was due to the effect of COVID-19 on the economy resulting in the low collection of EDT by FIRS.
The TETFund boss said in 2021, he expected to collect N300 billion as education tax and was hoping to increase it to N500 billion for 2023.
Prof Bogoro acknowledged that TETFund has made remarkable improvements in infrastructural development, research grants and other areas.
In his remarks, the Executive Chairman of FIRS, Muhammad Nami, described the interactive forum as timely because of the current situation as regards the expectation in education tax collection.
Nami, who was spoke on “Improving education t6ax collection in the post-pandemic era”, also acknowledged the decline in EDT collection in 2021 because of the COVID-19 pandemic.
He disclosed that FIRS has mapped out strategies t improve the collection of education tax, which include collaboration with sister agencies.
Chairman of Board of Trustees of TETFund, Alhaji Kashim Imam, said the education tax for 2021 was low against higher responsibilities and expectations from tertiary institutions.
Imam revealed that President Muhammadu Buhari has approved that education tax be increased from 2 per cent to 2.5 per cent to cater for more demands from tertiary institutions.
