Taxation goes beyond revenue collection. It is a powerful tool for fostering sustainable and transformational development in a country. Taxation, when effectively harnessed, can promote economic growth, social equity, and environmental sustainability. However, challenges such as inefficient tax administration systems and low taxpayer compliance hinder its potential. 

In response to the opportunities and challenges, the United Nations Development Programme (UNDP) and partners through the Tax for SDGs initiative and the Integrated National Financing Framework (INFF) Phase II programme has partnered with Kaduna State Inland Revenue Service (KADIRS) in transforming Kaduna State Tax Administration to drive socio-economic progress. By aligning tax policies with sustainable development objectives and providing technical and physical capacity support, UNDP is empowering KADIRS to mobilize domestic resources more effectively for sustainable development.

The support provided to KADIRS, within the pilot phase of one-year, comprises several key areas including:

1. Digitization of Tax Administration with the provision of Interactive Voice Response (IVR)-intercom services: Recognizing the importance of efficiency and convenience, KADIRS has introduced Interactive Voice Response (IVR) taxpayer line to streamline communication between taxpayers and authorities. This automated system facilitates efficient call routing, provides 24/7 accessibility, and offers automated information retrieval, enhancing the taxpayer experience and optimizing processes.

2. Taxpayer Education and Sensitization: Building trust and fostering dialogue are essential components of effective tax administration. With support from UNDP and partners, KADIRS has conducted stakeholder meetings across Kaduna's senatorial zones, engaged with media representatives, and collaborated with Civil Society Organizations (CSOs) to advocate for gender-sensitive tax policies. Additionally, targeted initiatives such as tax clinics for market women have promoted taxpayer awareness and inclusiveness in tax administration.

3. Review of the Medium-Term Revenue Strategy (MTRS): A robust revenue strategy is essential for sustaining revenue growth and meeting development objectives. Through workshops and stakeholder engagements, KADIRS is refining its tax policies and administration to adapt to evolving challenges and opportunities, ensuring continuity and sustainability in revenue generation.

4. Promotion of Gender Equality for public institutions: Recognizing the importance of gender equality, KADIRS has made a firm commitment to promoting inclusivity within its ranks and operations. In support of this goal, UNDP is providing training on gender equality principles and practices, enabling KADIRS to pursue the Gender Equality Seal (GES) Award. Through this initiative, KADIRS will establish the necessary mechanisms and meet the requirements to demonstrate its commitment to gender equality in public service.

Feedback from KADIRS over the course of project implementation indicates tangible outcomes, including:

• Increased voluntary tax compliance: Responses from KADIRS tax stations indicating voluntary tax compliance from the taxpayers.

• Improved taxpayer engagement: Citizens are better engaging KADIRS through the redressal mechanism provided by IVR-intercom service, allowing them to ask questions and seek clarifications. Taxpayers and the CSOs are now comfortable with the open-door policy initiative of KADIRS, whereby they can visit tax offices freely to seek for information and pay their taxes.

• Enhanced collaboration among revenue-generating agencies: There is renewed zeal for collaboration between the revenue generating MDAs in Kaduna State.

• Progress towards gender equality for KADIRS: Over 80% of benchmarks achieved​(based on self-assessment), and more than 10 mandatory benchmark surpassed​; showing significant progress in readiness for the Gender Seal Award. Women representation in KADIRS has also improved​, gender desk has been established​, and gender-disaggregated data collection and analysis​ is now in place to facilitate decision making in management, such as data related to Workplace Policies, Environment, etc.​

Overall, the support to Kaduna state tax authorities through the Tax for SDGs initiative and the INFF Phase II programme has resulted in the streamlining of revenue administration system, a notable increase in taxpayer compliance, significant progress in enhancing gender equality within KADIRS, and the strengthening of the Medium-term Revenue Strategy (MTRS) for sustained revenue growth.

Note to Editors

About UNDP’s Tax for SDGs Initiative:

The Tax for Sustainable Development Goals Initiative, or Tax for SDGs, supports developing countries in increasing domestic resource mobilization (DRM) and achieving the Sustainable Development Goals (SDGs). Tax for SDGs leverages UNDP’s role as an enabler, integrator, and catalyst at the country level to help governments take innovative approaches to taxation that will, on the one hand, improve domestic revenue mobilization to finance the SDG initiatives and, on the other, use tax policy tools to incentivize the achievement of the SDGs, including those related to climate, nature, gender, well-being, and governance. The Tax for SDGs Initiative is supported by the Government of Finland and the Government of Norway. Tax for SDGs resources: Link

About Nigeria Integrated National Financing Framework (INFF):

The Nigeria Integrated National Financing Framework (INFF) aims to mobilize greater amounts of private and public resources to finance Nigeria’s sustainable development goals in line with national priorities. The implementation of the Nigeria INFF leverages both conventional and innovative financing mechanisms, while tackling the barriers to public and private sector participation towards addressing financing needs for economic recovery.  The INFF is an initiative of the Federal Government of Nigeria whose Steering Committee is chaired by the Federal Minister of Finance and Coordinating Minister of the Economy, with Secretarial support provided by the Office of the Senior Special Assistant to the President on SDGs (OSSAP-SDGs), and technical support from the Federal Ministry of Budget and Economic Planning. Current funding partners of the INFF include United Nations Development Programme (UNDP) and the European Union (EU) Delegation in Nigeria.

For more information on the Nigeria Integrated National Financing Framework (INFF), visit the official resources:

• Global INFF resources: Link

• Nigeria INFF resource: Link