Abia Govt Debunks Obinna Oriaku’s Claims, Says Ex-Finance Commissioner Lied Over Tax Clearance Issue

The Abia State Government has refuted allegations made by former Commissioner for Finance, Hon. Obinna Oriaku, accusing the Abia Board of Internal Revenue (BIR) of unfair treatment during his tax clearance process.

Oriaku had released a statement titled “Alex Otti Administration and the Rot in Abia Revenue System: When Governance Becomes a Tool for Vendetta”, in which he alleged that officials of the BIR victimized him because of his political identity.

However, the state government has dismissed his claims as false, malicious, and an attempt to blackmail Governor Alex Otti’s administration for personal gain and public sympathy.

According to the government, the facts of the matter are clear and verifiable:

1. A circular issued by the Abia State BIR fixed the minimum annual tax returns for traders at ₦50,000 and for professionals or politically exposed persons (PEPs) at ₦70,000. These figures are minimum benchmarks, not fixed rates.

2. Every applicant for a tax clearance undergoes a standard verification process to determine the correct tax amount due, as practiced nationwide.

3. During his assessment, Hon. Oriaku was asked about his occupation and source of income. He allegedly replied that he was jobless and was only selling personal properties but refused to disclose how much he earned from those sales.

4. Following his refusal to provide necessary information, the BIR applied an Administrative Assessment (Best of Judgement) and determined his tax liability to be ₦483,000.

5. Oriaku later approached his former colleague, now Chairman of the Enugu State BIR, requesting a tax clearance to meet Senate screening requirements, claiming financial difficulty. The Enugu BIR Chairman reportedly allowed him to pay ₦100,000 out of goodwill, not because that was the correct amount due.

6. The Abia Government noted that Enugu’s tax rates are higher than Abia’s and accused Oriaku of concealing the full facts from his former colleague.

7. The government questioned Oriaku’s integrity, asking whether he believed ₦70,000 was a fair annual tax for someone of his status and financial background.

8. The government challenged Oriaku to publish his 2024 annual income to prove his claims. It added that if the state is found to have erred, it would issue a public apology and refund any excess payment. Otherwise, Oriaku should apologise to Abians for spreading falsehoods.

Finally, the statement urged Oriaku and others to desist from politicising governance issues or discrediting vital state institutions, stressing that the Otti administration bears no personal grudge against him and encourages all citizens to fulfil their civic responsibilities by paying their taxes.