The Federal Inland Revenue Service has entered a new phase of international collaboration after signing a strategic cooperation agreement with the French government to modernise Nigeria’s tax administration and strengthen cross-border revenue enforcement. The agreement comes just weeks before FIRS officially transitions into the Nigeria Revenue Service (NRS) in January 2026 under the new fiscal reforms.
The memorandum of understanding was signed in Abuja by the Executive Chairman of FIRS, Zacch Adedeji, and the French Ambassador to Nigeria, Marc Fonbaustier, at an event held at the French Embassy. The pact establishes a formal working relationship between FIRS and France’s tax authority, Direction Générale des Finances Publiques (DGFiP), widely recognised as one of Europe’s most technologically advanced public finance institutions.
A statement issued on Wednesday by the Special Adviser on Media to the FIRS Chairman, Dare Adekanmbi, described the agreement as a major step toward building a more transparent, data-driven, and globally aligned tax administration in Nigeria.
Adedeji said the partnership represents a shared commitment to developing “stronger, more resilient and forward-looking” tax systems as global public finance continues to evolve through artificial intelligence, digital platforms, and borderless commerce.
According to him, the digital transformation component of the pact is central to Nigeria’s ambition to automate compliance systems, strengthen data-driven audits, and expand taxpayer service delivery. He explained that DGFiP’s experience in e-filing, real-time analytics, and algorithm-based compliance tools will support Nigeria’s ongoing reforms.
Adedeji noted that the partnership is mutually beneficial, explaining that France also stands to learn from Nigeria’s rapid digital expansion and its youthful, technology-driven population.
“This two-way exchange is essential as both countries adapt to emerging challenges such as artificial intelligence deployment, cybersecurity, and cross-border taxation,” he said.
The FIRS chairman added that the agency will continue to deepen collaborations with other international partners as it prepares for its evolution into the NRS, which is expected to streamline tax processes, unify systems, and improve revenue outcomes.
Another key focus of the MoU is workforce development. Adedeji said Nigeria hopes to learn from France’s structured human capital policies, professional standards, and culture of continuous learning. At the same time, he said Nigeria’s experience managing a young and diverse workforce offers DGFiP useful perspectives on building modern, adaptable public institutions.
“We look forward to building models that strengthen institutional culture, build global competencies, and prepare our institutions for the future of public finance administration,” he said.
He also highlighted expected cooperation in international taxation, information exchange, transfer pricing, and efforts to curb Base Erosion and Profit Shifting (BEPS), a growing challenge for governments as multinational companies expand across borders.
Over the years, Nigeria has battled low tax-to-GDP ratios ranging between 6 and 10 per cent—far below the African average of around 15 per cent. The Federal Government aims to improve revenue mobilisation by deploying digital tools, simplifying compliance processes, expanding the tax base, and strengthening partnerships with foreign tax authorities.
France is considered one of the global leaders in digital tax reform, having developed advanced e-filing systems, automated audit engines, and real-time monitoring platforms. Nigerian officials believe the new partnership will support the country’s efforts to modernise its tax administration in line with global standards.
Adedeji said the MoU will be a key foundation for the country’s transition into a technology-driven NRS. “As Nigeria moves into the era of the Nigerian Revenue Service, we see this partnership as a foundation for building a modern, trusted, innovative and globally connected revenue administration,” he said.
Meanwhile, FIRS has intensified its collaboration with security agencies ahead of the implementation of the National Revenue Service Act on 1 January 2026. At a multi-agency forum held in Lagos on Tuesday, the Head of the FIRS Special Enforcement Division, CSP Kyes Bakfur, emphasised the need for deeper intelligence sharing, stronger field coordination, and improved operational support.
Bakfur said the Special Enforcement Division has played a key role in protecting FIRS facilities and investigating tax-related offences. He stressed that stronger collaboration with the Economic and Financial Crimes Commission, the Financial Intelligence Unit, and other security formations is necessary as modern tax enforcement increasingly depends on shared intelligence.
“Our expectation is a more symbiotic relationship,” he said, adding that joint efforts will help tackle tax evasion networks across the country.
A consultant to FIRS, Mr Oladipo Olayemi, said the engagement was aimed at improving synergy rather than highlighting internal gaps. He noted that insecurity—ranging from smuggling and illegal mining to cyber-enabled fraud and illicit financial flows—continues to undermine national revenue.
“It takes a secure environment before revenue authorities can actually do their job. We must see ourselves as collaborators so the channel of revenue generation will not be disrupted,” he said.
Olayemi called for joint task forces, coordinated compliance operations, and improved information sharing to strengthen enforcement nationwide.
