The Federal Inland Revenue is now using GPS technology to narrow in on small business who don’t pay tax. They use GPS Technology “to map shops and other small firms street by street to help direct tax officers.”
According to an article in Reuters, the Buhari government is increasing its focus on small businesses as a means to hitting its tax collection targets for 2016.
Nigeria collected about N3.7 trillion in taxes in the whole of 2016 20% lower than the N4.7 trillion collected in 2015. 2015 was also the first time the Firs collected less taxes than was originally targeted since it started reporting figures in 2000.
Small Business are a major focus for tax collection for this government despite not being able to provide basic infrastructure that can help businesses thrive. Most Nigerian small businesses hardly break out from subsistence profits due to lack of adequate funding from banks who prefer to lend to larger companies.
