The Registrar/Chief Executive of the Institute of Chartered Accountants of Nigeria (ICAN), Dr. Adesola Okunola, has called for the adoption of Artificial Intelligence in Nigeria’s tax administration system, saying it would improve revenue generation and modernise accounting practices.
Speaking on Thursday at the maiden edition of the Isiaq Family Foundation Annual Accounting Lecture held at Summit University, Okunola described Nigeria’s fiscal situation as a “revenue paradox,” where development needs continue to grow faster than available resources.
She noted that Nigeria’s tax-to-GDP ratio, estimated at about 9.5 per cent, remains low compared to similar economies, adding that the challenge is largely driven by inefficiencies in the system rather than unwillingness to comply.
According to her, improving tax performance requires rebuilding public trust, simplifying processes, and strengthening institutions.
“You cannot enforce compliance in a system that citizens do not believe in. There is a need to build trust, simplify tax processes and strengthen institutions to enhance efficiency,” she said.
Okunola explained that technology, particularly Artificial Intelligence, is already reshaping tax administration globally through tools such as automated audits, fraud detection, forecasting, and real-time compliance monitoring.
She argued that Nigeria stands to benefit significantly from these innovations but warned that proper safeguards must be in place.
“Nigeria stands to gain significantly from adopting these innovations, but their deployment must be backed by strong regulatory frameworks to address data privacy concerns, cybersecurity risks, and algorithmic bias,” she added.
The lecture also focused on the proposed 2025 Tax Reform Agenda, which includes plans to merge multiple taxes and introduce a unified framework aimed at reducing compliance burdens and improving efficiency.
Earlier, the President of the Isiaq Family Foundation, Alhaji Kolawole Balogun, said the lecture series was designed to promote knowledge development and support the growth of the accounting profession.
He said, “This lecture series is part of our contribution to knowledge development and our resolve to support institutions that are shaping the future of the accounting profession.”
Also speaking, the Acting Head of the Department of Management and Accounting at the university commended the initiative, saying it would expose students to emerging global trends in digital transformation and tax innovation, helping prepare them for a changing economy.
