Adeosun wants authentication of TTCs before payment

The Federal Government has mandated all Ministries, Departments and Agencies of government (MDAs) and the Federal Inland Revenue Service (FIRS) to authenticate all Tax Clearance Certificates (TCCs) presented by companies and individuals engaged in public procurement processes before payments are made.
In a statement signed by Special Adviser, Media & Communications to the minister, Oluyinka Akintunde, the directive became necessary following the proliferation of forged TCCs purportedly issued prior to the automation of the certificates from 22nd August, 2017. The validation of the TCCs will enhance the integrity of the tax system.
“A Circular issued on Tuesday by the Honourable Minister of Finance, Mrs. Kemi Adeosun, requires the MDAs to authenticate all TCCs before making payment to contractors.
For TCCs issued before 22nd August, 2017, the Circular advised the MDAs and other stakeholders to forward a list of the companies and photocopies of the TCCs to the office of the Executive Chairman, FIRS for authentication. The FIRS has undertaken to verify the TCCs within 72 hours of receipt,” the statement said.
The Minister reminded company Directors that possession of fake TCC is an offense. The now outdated manual system allowed production of forged TCCs. Companies and individuals in doubt as to the authenticity of their TCCs are advised to take advantage of the Voluntary Assets and Income Declaration Scheme (VAIDS) to regularise.
She added that the Federal Ministry of Finance and the FIRS will continue to work in partnership with government at all levels and stakeholders towards eradicating tax fraud and evasion.
The Federal Government, it will be recalled, had in January 2018 directed vendors of MDAs to display their Tax Identification Numbers (TINs) on their invoices before payments are effected. The non-presentation of a TIN by the vendors largely contributed to leakages in revenue remittances, particularly Value Added Tax (VAT) and Withholding Tax (WHT).

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