The Federal Ministry of Finance has clarified that it has not discontinued the practice allowing revenue-generating agencies, including the Federal Inland Revenue Service (FIRS), Nigeria Customs Service (NCS), and the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), to deduct their cost of revenue collection at source.
The clarification, made by the ministry’s spokesperson Mohammed Manga on Friday via the Ministry’s official X account, came amid claims attributed to Finance Minister Wale Edun suggesting that the federal government had stopped the practice.“At no point during his remarks at the Nigeria Development Update (NDU) programme hosted by the World Bank did the Honourable Minister of Finance and Coordinating Minister of the Economy, Mr Wale Edun, announce or imply any change to the existing policy on the cost of collection deductions,” the Ministry said.
The government emphasized that there has been no policy change regarding cost-of-collection deductions. What is currently ongoing is a review of the cost of collection structure in line with President Bola Ahmed Tinubu’s directives to enhance transparency, efficiency, and value for money in public financial management.“The Ministry assures all stakeholders and the public that revenue operations continue uninterrupted and that any future adjustments will be guided by due process, stakeholder engagement, and clear communication,” the statement added.
The Ministry urged the public and media outlets to disregard misleading reports, stressing that the current framework for revenue collection remains in effect.
