The Federal Inland Revenue Service (FIRS) has dismissed allegations by former Vice President Atiku Abubakar that a private firm, Xpress Payments Solutions Limited, has been granted exclusive rights over Nigeria’s national revenue-collection system.
In a statement released by Aderonke Atoyebi, Technical Assistant on Broadcast Media to the FIRS Executive Chairman, the agency described Atiku’s claims as misleading and politically motivated.
“The comments by former Vice President Atiku Abubakar are incorrect, misleading, and capable of unnecessarily politicising a purely administrative and technical process,
” For clarity, the FIRS does not operate any exclusive or single-gateway revenue-collection arrangement, and no private entity has been granted a monopoly over government revenues “, the agency said.
They stated that FIRS currently employs a multi-channel, multi-payment Solution Service Provider (PSSP) framework that includes several platforms such as Quickteller, Remita, Etranzact, Flutterwave, and XpressPay.
“These PSSPs are part of a transparent and competitive ecosystem designed to make tax payment easier and more efficient for Nigerians nationwide,” the statement said.
Backstory
The federal government appointed XpressPayment Solutions Limited as a Collecting Agent for the Federal Inland Revenue Service under the Treasury Single Account framework, allowing taxpayers to use its platforms for FIRS payments. This allows taxpayers to remit statutory payments such as company income tax, value-added tax, and withholding tax through its online platform, XpressPay, or in person at banks via its e-Cashier system.
Former Vice President, Atiku Abubakar, says the appointment grants the firm monopoly control over Nigeria’s revenue-collection system. He argued that the move mirrors a “Lagos-style revenue cartel” and warned that it could channel public funds into the hands of politically connected intermediaries.
He questioned why the decision was made quietly without consultation, stakeholder engagement, or National Assembly oversight. He further claimed that introducing a private firm into core government revenue operations threatens institutional integrity and transparency, describing it as state capture masquerading as digital innovation.
PSSPs do not control government revenue
The FIRS emphasised that the Payment Solution Service Providers are not designated as collection agents and do not earn processing fees or percentages from revenues.
All payments made through the platforms go directly into the Federation Account without diversion, intermediaries, or private control.
The agency also highlighted that the current collection framework includes deliberate expansion to allow multiple PSSPs, improved monitoring for accountability, and increased opportunities for the financial technology sector through innovation and competition.
Fair process and ongoing reforms
Atoyebi noted that the onboarding of PSSPs follows a clear and verifiable process, ensuring fairness and equal opportunity for all operators. The FIRS further stated that ongoing national tax reforms under the Presidential Committee on Fiscal Policy and Tax Reforms are central to Nigeria’s economic modernisation and should not be politicised.
“The reform has come to stay and should not be subjected to mischaracterisation for political gain,” the statement read.
The agency urged political actors to avoid spreading misinformation or raising unnecessary alarm around routine administrative procedures. Saying the reforms are grounded in transparency, efficiency, and broad stakeholder engagement and should not be politicised.
“We therefore urge Mr. Atiku Abubakar and other political actors to refrain from mischaracterising routine administrative processes for political gain. Nigeria’s tax system is too important to be subjected to misinformation or unnecessary alarm,” the statement read.
The FIRS reaffirmed its commitment to professionalism, transparency, and the continuous strengthening of Nigeria’s revenue-collection system for the benefit of all citizens.
