Edo to Generate N100bn from Digital Tax Initiative
The Edo State Government has projected that its adoption of technology and ongoing tax reforms will help it achieve a targeted N100bn in Internally Generated Revenue by the end of December 2025.
The Executive Chairman of the Edo State Internal Revenue Service, Bamidele Bankole-Balogun, disclosed this in an interview on Monday. He noted that the agency had recorded significant progress in revenue mobilisation despite challenges around tax evasion and avoidance.
Bankole-Balogun said the state had steadily improved tax administration through audits, assessments, and the strategic use of the courts to enforce compliance. According to him, Edo’s IGR stood at N74bn by the end of August and had risen to N79bn as of press time, placing the state on track to meet its N100bn target by year-end.
He explained that the current administration of Governor Monday Okpebholo inherited a revenue system with little or no digital infrastructure but stressed that his team was working tirelessly to fully digitalise tax collection.
The goal, he said, is to minimise manual and cash transactions in order to make revenue administration more transparent and efficient.
“At the moment, the Edo State Internal Revenue Service is making tremendous gains in increasing the IGR of the state, and we are working to ensure the revenue hits ₦100bn. There are many components to our taxation system, and each segment has recorded significant improvement compared to last year,” Bankole-Balogun said.
He added that tax collection from high-net-worth individuals and large corporations had been a major challenge, as such groups often deploy resources to evade or avoid tax obligations. However, he assured that the EIRS had strengthened mechanisms to capture this category of taxpayers.
Looking ahead, the EIRS chairman expressed confidence in Edo’s preparedness for the new tax regime set to commence on January 1, 2026. The regime, he explained, will place less emphasis on low-income earners and focus more on high-income individuals and entities capable of paying higher taxes.
“Our objective is to harness the high-net-worth group and maximise the revenue potential from those who have the capacity to contribute more, rather than overburdening low-income earners,” he said.
Bankole-Balogun also highlighted the critical role of technology in the process. He noted that from January 2026, tax identification numbers, bank verification numbers, and national identification numbers would be mandatory for all financial transactions in Nigeria. This, he said, would further strengthen the government’s ability to track income, curb evasion, and boost collections.
He stressed that Edo’s drive towards a digital-first revenue system was aligned with national reforms spearheaded by the Federal Inland Revenue Service, now to be known as the Federal Revenue Service.
“With these measures in place, we are optimistic about achieving our ₦100bn target and building a revenue system that ensures equity, efficiency, and sustainability,” Bankole-Balogun concluded.
The Edo government believes that the reforms will not only enhance its fiscal stability but also expand investments in infrastructure, social services, and overall economic development.