Governor credits reforms and digital systems for revenue surge, urges states to free tax bodies from political interference……
Lagos State Governor, Babajide Sanwo-Olu, has called for greater independence for tax authorities across Nigeria, arguing that autonomy is key to unlocking stronger revenue growth and public trust.
The governor made the case on Wednesday at the State House in Marina while hosting members of the Joint Revenue Board during its 159th meeting, an event that brought together top tax administrators from across the country.
Sanwo-Olu used the occasion to spotlight Lagos’ revenue performance, describing the Lagos State Internal Revenue Service as a central force behind the state’s economic expansion. According to him, internally generated revenue now contributes more than 60 percent of Lagos’ annual budget, reflecting years of deliberate reforms.
In 2024 alone, the state recorded about N1.3 trillion in internally generated revenue, marking a significant increase driven by improved tax administration, expanded coverage, and the adoption of digital systems.
“This level of growth didn’t happen by chance,” the governor said. “It is the result of consistent investment in technology, widening the tax base, and building a culture of trust between the government and taxpayers.”
Despite the progress, Sanwo-Olu warned that similar success may remain out of reach for other states unless tax agencies are allowed to operate without political disruption. He urged governors nationwide to grant revenue authorities full tenure and operational independence, stressing that frequent leadership changes can weaken efficiency and erode confidence in the system.
“Revenue agencies need space to function,” he said, noting that stability in leadership is essential for long-term planning and institutional credibility.
The governor also emphasised that tax revenues in Lagos are being visibly reinvested into infrastructure and social development. He pointed to major projects such as the Lagos Blue Line Rail and the Lagos Red Line Rail, alongside road expansions, healthcare facilities, and new universities, as evidence of how public funds are being utilised.
According to him, the state is building an integrated, multi-modal transport network that combines rail, water, and road systems to improve mobility and support economic activity.
Earlier, the Executive Chairman of the Lagos State Internal Revenue Service, Ayodele Subair, described the Joint Revenue Board as a critical platform for coordinating tax reforms across all levels of government especially in light of newly enacted tax laws.
He noted that Lagos’ role as host reflects its position as Nigeria’s economic hub and a leader in subnational revenue generation.
Representing the chairman of the board, Zacch Adedeji, the Executive Secretary, Olusegun Adesokan, praised Lagos for its sustained progress, describing its tax authority as the benchmark for others nationwide.
He highlighted the scale of transformation over time, noting that Lagos’ internally generated revenue has grown from less than N94 billion annually years ago to over N1.7 trillion today, an evolution driven by long-term reforms and policy consistency.
Participants at the meeting also commended the state’s development strides, citing projects such as the Eko Atlantic City as examples of how strong revenue performance can translate into visible economic outcomes.
As discussions continue among tax authorities nationwide, the message from Lagos is clear: sustainable revenue growth depends not just on policy, but on giving institutions the independence and stability needed to perform.
