Nigeria has renewed its call on the United Nations (UN) and the international tax community to promote inclusive, equitable, fair and universally beneficial international tax system towards the attainment of the 2030 Sustainable Development Goals (SDGs).
The Executive Chairman of the Federal Inland Revenue Service (FIRS), Mr. Muhammad Nami, gave this charge while delivering Nigeria’s Statement at the Economic and Social Council (ECOSOC) Special Meeting on International Cooperation in Tax Matters, held last Friday at the United Nations headquarters, New York, United States.
Nami pointed out that the Nigerian delegation to the meeting was concerned about the global minimum tax as put forward by the OECD-Inclusive Framework, because of its low rate and the way it was negotiated to benefit the home countries of multinationals.
He said: “My delegation is concerned about the global minimum tax because of its low rate and the way it was negotiated to benefit the home countries of multinationals, which are mostly in developed countries.”
Speaking further, the FIRS’ boss urged the meeting to discuss how a UN instrument on tax cooperation can both build on work that has already been done in a way that guarantees fairness and equity.
According to him, Nigeria is looking forward to views on enforcement mechanisms for a binding multilateral tax convention, noting the challenges that developing and developed countries have experienced with investment treaty arbitration.
Nami, in the country’s statement, maintained that the capacity of countries to attain the 2030 Sustainable Development Goals was hinged on having the requisite funding “in delivering critical public services” towards these SDGs.
While calling for a global taxation regime under the United Nations, the seasoned tax administrator harped on the importance of enhancing domestic resource mobilization among member States to address their economic challenges.
Nami expatiated: “The promotion of inclusive International Tax Cooperation remains a critical subject in the attainment of the 2030 Sustainable Development Goals (SDGs).
“Today a global taxation regime under the UN is urgently needed to enable States effectively mobilize domestic revenues to address the multiple economic and other crises impacting our efforts in the achievement of the 2030 SDGs.
“Domestic public resource mobilization is critical to this effort because of its vital role in delivering critical public services and advancing even progress towards the sustainable development agenda.
“Developing countries are taking seriously the challenge of financing sustainable development. My delegation underscores the importance of enhancing domestic resource mobilization, good governance and investment in our common African goal embodied in the Agenda 2063, and in the global goals spelled out in the 2030 Agenda”, he added
He further commended African countries for strengthening their participation in international tax cooperation efforts, as well as the strides they have made in closing loopholes and countering base erosion and profit shifting.
The FIRS’ boss, however, expressed concerns that “while much good work has been done, much more remains to be made towards a fully inclusive process, both domestically and internationally and ensuring that all taxpayers are making their fair contributions.”
The United Nations Economic and Social Council (UN ECOSOC) Special Meeting on International Cooperation in Tax Matters is an annual meeting of ECOSOC members, senior representatives of national tax authorities, relevant international organizations, civil society and academia that discusses issues of taxation as it affects the globe.
Photo Caption
The Executive Chairman of FIRS, Mr. Muhammad Nami, (2nd Right) flanked by other delegates during the 2023 ECOSOC Special Meeting on International Cooperation in Tax Matters held on March 31st 2023 at the United Nations headquarters, New York, United States
