Government officials in Edo State have raised concerns over persistent revenue leakages as oil workers and residents within the state reportedly remit taxes to neighbouring Delta State.
The issue came to light on Tuesday during a stakeholders’ meeting convened by the Edo State Inland Revenue Service (EIRS) in Benin City, which brought together senior officials, heads of ministries, departments, and agencies.
Speaking at the session, the Managing Director of the Edo State Traffic Management Agency, Stainless Ijeghede, lamented that taxes from oil company workers in Oben—an Edo community—were being paid to Delta State.
“When I was working there, I discovered that at the end of the month, the tax deductions reflected in my payslip went to Delta State. This means people working in Oben pay their taxes to Delta rather than Edo,” he said.
Corroborating his stance, the Attorney General and Commissioner for Justice, Samson Osagie, noted that the influx of Deltans into some Edo communities, coupled with the migration of Edo people to urban centres, had complicated boundary and ownership claims, worsening the revenue losses.
Osagie disclosed that his ministry was working on a draft Revenue Court Law, which would establish specialised courts to prosecute tax offenders swiftly. He added that Edo would adopt best practices from Delta in setting up the courts to strengthen tax compliance.
On his part, the Executive Chairman of the EIRS, Bankole Balogun, stressed the importance of collaboration among stakeholders to expand Edo’s tax base. He highlighted the implementation of the Single Treasury Account (STA) as a crucial reform to improve transparency, eliminate leakages, and centralise revenue collection.
“Revenue is not an end in itself; it is a tool to enable the state to deliver better roads, stronger health systems, quality education, and safer communities,” Balogun said.
He also noted that Edo would align with the forthcoming national tax law once it is rolled out.
Earlier this week, Governor Monday Okpebholo announced that the state was targeting N100 billion in tax revenue by year-end to fund infrastructure and welfare projects. He urged residents to fulfil their tax obligations as part of their civic duty to support development.
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