An expert in
Accounting, Mrs Morenike Babington-Ashaye, has urged the Federal Government to urgently review the country’s tax laws, as a measure to overcome the current economic recession.
Babington-Ashaye, who is the Chief Executive Officer, Acer Accounting Services, made this call in an interview with newsmen in Lagos on Monday.
She observed that some of the country’s tax laws had already become obsolete and were no longer in consonance with the current economic realities.
The accountant, who said that improved revenue generation was key to overcoming recession, urged the government to come up with sound fiscal policies that could turn around the country’s fortunes.
“It is disappointing that sometimes, we have to wait till the last moment before considering taking certain important economic steps, such as the review of tax laws.
“Taxation is a living subject. It is something that the government has to review every year in line with the prevailing economic situation.
“We are in a recession now and I think the effects of the problem and the pains the people are talking about would have been minimal if we had made our tax laws more responsive.
“The point is that we do not just come up with the yearly budgets; we must debate our tax policies and adjust them to ensure effective implementation.
“That way, any economic shock would have been planned for, and the kind of dire economic situation we are now in can also be mitigated,” she said.
The expert therefore, urged the government to review the tax laws to take the country out of the present economic doldrums.
Babington-Ashaye also suggested wider consultations between critical stakeholders and government authorities on the way forward for the economy.
She also urged government to ensure the effective utilisation of tax resources in order to give value to the masses in form of development projects.
Babington-Ashaye expressed optimism that the country’s economy would be strong once again, if the county could increase local capacities and reduce importation.