Adamawa Scam Uncovered: N3.3 Billion PAYE Scam

Adamawa State House of Assembly has uncovered a scam of about N3.3b from non remittance of Pay as You Earn (PAYE) from the 21 local government areas of the State.

The amount deducted from the monthly salaries of staff of the last tier of the government as statutory taxes between 2009, 2010,2011 and 2012 was not remitted into the account of the Board of Internal Revenue.

Chairman of the House Standing Committee on Public Accounts, Mr. Wafarniyi Theman disclosed this at an interroragative session with the relevant ministries, boards and parastatals connected with PAYE in the state.

They are the ministry of Local Government Affairs, Board of Internal Revenue, Association of Local Governments of Nigeria, ALGON, the Accountant General of the state and the local government treasurers in the state.

Addressing the representatives of the organizations, the Chairman of the Committee, Wafarniyi Theman described the action as a gross violation of the financial as enshrined in the 1999 constitution as well as section 28 of the Board of Internal Revenue Laws of the state.

Appearing before the Committee, the Chairman of the Board of Internal Revenue, Alhaji Mohammed Tuta who was defenseless at the heated session said his board during the disputed years computed the taxes and served all the local governments across the state with the table, but could not remit a single kobo which conflicted with the submission of the Union of Local Government treasurers represented by Mallam Kolere Treasurer as, Jada Local Government Area.

He vehemently argued that the remittance they made as PAYE to the Board of Internal Revenue Yola, was in figures not in cash, while the salaries of Local Government Staff were simultaneously paid within the four years.

The Permanent Secretary Local Government Affairs confessed to the Committee that he was new in the office but promise that henceforth from October 2013, all the PAYE of the 21 Local Governments would be remitted to the board. http://allafrica.com/stories/201311070080.html