Senate Alleges FIRS, NNPCL Withheld Petroleum Profit Tax for Years

Chairman of the Senate Public Accounts Committee (SPAC), Senator Aliyu Wadada, has accused the Federal Inland Revenue Service (FIRS) and Nigerian National Petroleum Company Limited (NNPCL) of withholding petroleum profit tax meant for the federation account for several years.

During a debate on the Medium-Term Expenditure Framework (MTEF) and Fiscal Strategy Paper (FSP) for the 2025 Appropriation Bill, Wadada disclosed that repeated invitations to both agencies went unanswered or yielded unsatisfactory responses.

“The FIRS, in collaboration with NNPCL, has not remitted petroleum profit tax for a number of years,” he said.
“We requested clarifications, but the documents provided were tampered with, including tipex corrections and handwritten notes, allegedly from JP Morgan. This is unacceptable.”

Wadada emphasized the need for greater accountability from revenue-generating agencies, warning that their failure to meet remittance obligations could undermine the nation’s fiscal stability. He called for urgent action to address the issue, noting that efforts to resolve it have so far been unsuccessful.

The allegations raised concerns about the effectiveness of Nigeria’s revenue collection processes as the government prepares its 2025 budget.