The Internal Revenue Service has five (5) main Departments. These are:-

1. Operations
2. Research, Planning and Monitoring
3. Finance
4. Administration
5. Legal Services

Each is headed by a Deputy Commissioner. The functions of each department complement the others and help in achieving the goals of the Service. The functions are stated below

OPERATIONS
The Units making up the Operations Department are Assessment, Collection and Information.

INFORMATION UNIT
It provides information to the Assessment and Collection Units through information
generated on its own or through investigations conducted from information provided
by the two units.

ASSESSMENT FUNCTIONS
a) Raising and revision of Provisional Assessments
b) Examination and agreeing accounts and returns submitted by taxpayers or their
agents.
c) Liaising with Management Information Technology Unit (MITU) to produce
provisional assessments.
d) Dealing with RPM and Utilising Information provided to raise Assessments.
e) Act in advisory position whenever matters on assessment crop up.
f) Verification of tax clearance certificates submitted by taxpayers to embassies and
High Commissions.

COLLECTION FUNCTIONS
1. The Collection Unit is responsible for collecting individual and business income taxes, withholding, and other taxes including capital gains tax, stamp duty and gift tax. This responsibility includes collection of amount due on provisional assessments for the current tax period as well as collection of delinquent taxes.
2. Identification of taxpayers who have ceased filing required returns.
3. Detection, registering and bringing into compliance individuals and businesses which have not filed any returns.

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RESEARCH, PLANNING & MONITORING
The Research, Planning and Monitoring Department is made up of the following units.

a) Research
b) Statistics
c) Planning
d) Tax Audit
e) Tax Examination
f) Investigations.

FUNCTIONS
Collectively, the activities of these units supplement the efforts of other departments of the Service, especially Operations.

The main functions are:-

1. MONITORING AND EVALUATION. This is undertaken mainly by Tax Audit and
Tax Examination.

2. PRODUCTION OF MANAGEMENT DATA AND CONDUCT OF RESEARCH:-
This is the main duty of Research, Statistics and Investigations.

3. PLANNING:- This is handled by the Planning Division.
The department’s activities are classified as follows:-

1. ROUTINE OR NORMAL ASSIGNMENTS
a) Providing Management Information/Data and Research.
b) Monitoring and Evaluating Assessment and Collection Duties.

2. REFERRED JOBS AND INFORMATION
These are from the Commissioner, other departments of the Service and outsiders.

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FINANCE
The Finance Department is made up of the following Units.

a) Budget
b) Purchasing
c) Stores
d) Revenue
e) Accounts

FUNCTIONS

a) BUDGET
i. Preparation of Expenditure Budget of the Service which comprise of
personal emoluments, core activities of the service and investment.
ii. Monitoring of Expenditure
iii. Preparation of Expenditure reports on monthly and quarterly basis

b) PURCHASING
i. It undertakes the purchasing activities of the Service.
ii. It undertakes procurement planning.

c) REVENUE
i. Monitors revenue collection of the Service.
ii. Prepares and submit revenue collection reports on monthly basis.
iii. Compiles bank reconciliation reports on the retention regime of the Service.

d) STORES
i. It takes custody, receipt and issuing of Store Items.
ii. Plans replenishment of stores in conjunction with purchasing.

e) ACCOUNTS
i. It has responsibility for payment of expenditure and recording of finance.
ii. It is responsible for transactions and preparation of final accounts or financial statement on monthly and annual basis.
iii. Responsible for other disbursements like loans and preparation of Payroll.
The finance department is responsible for:-
i. Advising management on all financial issues of the Service.
ii. Authorisation of payments
iii. Carrying out administrative responsibilities
iv. Ensuring the preparation of the necessary documentation for the release of retention
funds from the Ministry of Finance.
v. Working in collaboration with Internal and External Auditors in auditing the
financial statements of the Service.

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ADMINISTRATION

FUNCTIONS
The Administration Department has responsibility for the following:-

1. Formulating policies, strategies and programmes for the efficient management of all
functional and administrative activities of the Service.

2. Administering all human resource systems – recruitment, compensation and benefits,
Industrial relations.

3. Developing appropriate procedures for the effective management of support services -
transport, estate, security.

4. Staff development and manpower planning.

The Department has five (5) Units:-

i. Administration (Human Resource)
ii. Estate
iii Training
iv. Transport
v. Security

ADMINISTRATION (HUMAN RESOURCE)
- Responsible for the recruitment of the right calibre of personnel and the provision of
adequate compensation and benefits package

ESTATE
Responsible for acquiring, developing, and keeping custody of the properties of the Service.

TRAINING
Responsible for developing the human resource with the aim of equipping it with the knowledge, skills and attitudes required for achieving the objectives of the Service.

TRANSPORT
Ensuring the provision of an efficient fleet of vehicles to support the operations of the Service.

SECURITY
Protecting the lives of staff and securing the properties of the Service against theft, burglary and other hazards.

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LEGAL SERVICES
The Units which make up the Legal Services Department are Compliance and Valuation.

FUNCTIONS

1. Prosecution of taxpayers who contravene any of the tax laws administered by the
Commissioner.

2. Institution of civil action for the recovery of tax arrears.

3. Defending the Commissioner in any suit that may be brought against him/her in
relation to tax disputes.

4. Institution of civil action against any person for the assertion and protection of the
Service’s rights.

5. Defending the Service in any civil suit against it by any person (including members of
staff) in any court.

6. Representing the Commissioner at any Commission or Committee of Inquiry.

7. Writing of legal opinion on tax and non tax matters.

8. Preparation of Mortgages between beneficiaries of staff housing loans and the Service.

9. Mortgage/Home Protection Policies.

10. Preparation and Vetting of Contracts for the purchase of Land and Buildings
(Immovable property)

11. Preparation and Vetting of Bonds between the Service and Staff.

12. Insurance Policy and Claims relating to:-

i) Workman’s Compensation
ii) Group Personal Accident
iii) Motor Policy
iv. Fire Policy
v. Such other policies, other than Mortgage related policies, as may from time to time be
taken by the Service.

13. Drafting of tax legislations and Double Taxation Treaties.

The Compliance Unit is the prosecution arm of the Department while the Valuation Unit assists in the:-

a) Assessment and Collection of Capital Gains Tax.
b) Stamp Duty
c) Gift Tax

The Unit also acts as advisor to the Service on matters relating to valuation of property.

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The following Units report directly to the Commissioner:-

a) Public Relations and Tax Education
b) Internal Audit
c) Management Information Technology Unit

PUBLIC RELATIONS AND TAX EDUCATION
FUNCTIONS

a) Co-ordinating relationship with the media
b) Supporting activities of taxpayers and potential taxpayers to heighten tax awareness
c) Provide information and guidance to taxpayers through publications, brochures, tax
literatures etc.
d) Reaching employees of the Service
e) Orchestrating interaction with the Community
f) Managing the institutional image to ensure the correct and favourable perception of
the Service at all times.
g) Co-ordinating and managing special events and corporate gift-giving to ensure that
IRS stays in the public mind.
h) To raise taxpayer consciousness and voluntary compliance through a sustained
programme of Tax Education.

INTERNAL AUDIT
OBJECTIVE
The overall objective of the Department is to assist all members of management in the effective discharge of their responsibilities by furnishing them with analysis, appraisals, recommendations and pertinent commentary on the activities reviewed.

FUNCTIONS

1. To formulate internal control policies that will ensure the smooth operations of
financial and other procedures within the Service for the approval of Management.

2. To ensure that there are effective and efficient systems and procedures of internal
control to safeguard the financial and other resources of the Service.

3. To ensure that all other transactions are executed in accordance with laid down policies
and guidelines.

4. To ensure that all monies received are accurately recorded and promptly paid into
bank

5. To ensure that all assets and liabilities of the Service are verified, and that methods of
asset depreciation and appreciation are in conformity with prevailing conditions.

6. To ensure that all expenditures incurred are properly authorised, recorded, and that all
disbursements comply with laid down procedures.

7. To ensure regular verification of all stocks at the Stores of the Service to detect and
prevent possible malpractices.

8. To ensure that purchasing in the Service follows laid down policies and procedures
and that goods delivered comply with order specifications.

9. To ensure pre-auditing of all payments and purchases.

10. To detect and prevent frauds and other similar irregularities.

11. To submit regular reports to the Commissioner.

12.To undertake any work that may be assigned by the Commissioner, including audit
investigations.

MANAGEMENT INFORMATION TECHNOLOGY UNIT
FUNCTION

The Unit’s function is to promote the use of information technology and generating processed information for effective management decision making.

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