FIRS adopts new model to drive voluntary tax compliance
The Federal Inland Revenue Service (FIRS) is adopting a new approach to tax administration aimed at fostering voluntary compliance and leveraging technology to promote a culture of transparency and predictability in Nigeria’s tax system.
According to a statement by Collins Omokaro, Special Adviser on Communications and Advocacy to the Executive Chairman of the FIRS, the agency is moving away from audit-driven enforcement model toward a system that encourages doing the right thing by design, rather than by force.
“While audits remain a critical tool for identifying irregularities and ensuring accountability, they are by nature retrospective. They tell us what has gone wrong. What we need going forward is a system that prevents errors before they occur,” Omokaro stated.
Under the leadership of Executive Chairman Zacch Adedeji, the FIRS he said is reshaping its operational focus. The agency’s new strategy de-emphasizes punitive audits in favor of strategic interventions that guide taxpayers toward compliance through automation, digital foresight, and standardized procedures.
At the core of this shift is the deployment of modern technology to support predictive and preventive assurance. These innovations are designed to identify risks before they materialize, improve operational efficiency, and support both taxpayers and FIRS staff in real time.
“Technology allows us to move from fault-finding to foresight. Our goal is not just enforcement—it’s enablement. We are designing a system where it is easier to comply than to default,” Omokaro said.
As part of this transformation, the agency is also scaling up education and capacity-building initiatives. Taxpayers are being provided with the knowledge and tools they need to meet their obligations, while staff are being trained to operate within a transparent, rules-based framework.
The renewed focus comes at a time when Nigeria is seeking to boost internally generated revenue and reduce its dependence on debt. By making tax compliance more intuitive and accessible, the FIRS aims to raise revenue in a way that is, in Omokaro’s words, “efficient, equitable, and empowering.”
Beyond operational reforms, the FIRS is positioning itself as an enabler of long-term national development. The agency’s new orientation emphasizes collaboration and trust between government and citizens, with the ultimate goal of building a sustainable culture of tax compliance that drives inclusive growth.
“Audits will always have their place,” Omokaro said, “but the future lies in sustained adherence—a culture powered by technology, guided by process, and inspired by purpose.”
