Due to the dwindling revenue and economic hiccup that presently bedeviled the country, the Senate on Tuesday mandated its committee on Customs, Excise and Tariff to probe how the Nigeria Customs Service recorded a revenue shortfall of N230 billion by the last quarter of 2015.
This followed a motion by Isaac Alfa (APC, Kogi East) titled: “Urgent Need to Examine the Operations of the Nigeria Customs Service Revenue Drive”.
Alfa noted with serious concern that the revenue projection of Customs has not been met despite multiple strategies and policy initiatives to improve revenue generation.
The lawmaker observed that in the first quarter of 2016, the Tin Can Island and Apapa Command of NCS recorded a revenue shortfall of N2.7 and N2.5 billion respectively.
Alfa believed the revenue shortfall is as a result of unwholesome fraudulent trade malpractice, under declaration, abuse of fiscal policies, concealment, false declaration of value and wrong classification.
In his submission, Shehu Sani (APC, Kaduna Central) lamented the decline in NCS revenue at a time when Nigeria’s economy is facing recession.
He said what is happening to NCS is a reflection of fall in the volume of trade and commerce.
Deputy Senate President Ike Ekweremadu emphasised the need to ensure that government block all leakages and optimise the revenue potential of Customs.
“It’s time we block all leakages in the system and optimise the revenue potential of the Customs Service so as to increase all revenue”, he said.
In his remarks, Senate President Bukola Saraki believes there is need to clean up the Nigeria Customs Service, pointing out that “The place is stinking”.
He notes that the drop in Customs revenue has sharply affected government revenue as well as the need to plug all leakages.
Senate consequently resolved to probe the activities of NCS with a view to identify leakages and identify the causes of decline in revenue generation.
