Governor Olusegun Mimiko
By Festus Akanbi
In its bid to raise the base for its internally generated revenue amidst the dwindling revenue from the federal purse, the Ondo State Government has embarked on measures to raise its revenue base to N10 billion in the 2012 fiscal year.
Consequently, the state has embarked on a process of its tax net to include professionals and the re-engineering of its Board of Internally Generated Revenue.
THISDAY gathered that the amount which represents 80 per cent of the N12 billion target for the year came about after necessary legislative efforts introduced to compel professionals and other residents to pay tax.
This was disclosed by the state commissioner for Budgeting and Economic Planning, Mr. Akin Adaramola in an interview in Akure over the weekend.
According to him, findings showed that some financial institutions and other classes of professionals were either not remitting or paying taxes at all, and as such hindered the propensity for higher earnings from taxes; as only N2.5billion was three years ago when the current administration came into power.
He said the state government partnered with genuine investors to revive identified moribound companies, saying that the Alpha 3D firm at Ikare has been resuscitated to produce poly cerene for construction projects, especially in the riverine areas of the state.
“The Angidi-Akoko Tamato puree industry for instance got N40million and is presently producing, while we have held series of discussions with investors based on careful partnership to enable us ascertain the genuine ones,” he said.
According to the Economic Planning Commissioner, in years on Ondo State aims at reducing dependency on the Federation Account for sustenance, stressing that it would harness its agricultural potentials, especially in the areas of cocoa, timber and other food crops to boost Internally Generated Revenue.
“In our perspective plan, consisting of medium to long term plan, we aim to support our farmers with loans for them to produce maximally both for intnernal consumption and export for earnings. This wil be in addition to widening the tax base to bring professionals such as lawyers, pharmacists and others into the tax net.”
Also contributing, the commissioner for Information, Mr. Kayode Akinmade noted that since it came into power in 2009, the Dr Olusegun Mimiko-led administration had embarked on rapid infrastructural development as a basis for kick-starting the socio-economic transformation of the state.
“In Ondo State, urban renewal is a major redevelopment tool in turning the fortune of the towns and cities around in order to ensure significant improvement in the quality of life of the people.” he remarked.