FIRS Rebuts FCTA Claims Over Ground Rent, Alleges Unfair Targeting.
The Federal Inland Revenue Service (FIRS) has fiercely contested the Federal Capital Territory Administration’s (FCTA) claim that it failed to pay ground rent for 25 years, leading to the sealing of its Wuse Zone 5 office in Abuja on Monday, 26 May 2025. The tax agency insists it has settled all dues up to 2023 and has accused the FCTA of maliciously targeting it during a critical period for Nigeria’s tax reforms.
In a statement shared via X, Aderonke Atoyebi, Technical Assistant on Broadcast Media to the FIRS Executive Chairman, described the FCTA’s actions as “unprofessional” and “malicious.” She revealed that the FIRS has been requesting a receipt for its ground rent payments since 19 February 2024, but the FCTA has failed to issue one. “It’s a falsehood to claim that FIRS is owing ground rent for 25 years. Documents available show that we have paid all dues until 2023. We have the evidence,” Atoyebi asserted, adding that the agency is being unfairly scapegoated.
The controversy erupted when the FCTA, under Minister Nyesom Wike, sealed the FIRS office alongside other high-profile properties, including an Access Bank branch and a Total petrol station, for alleged non-payment of ground rent spanning decades. The FCTA claimed the FIRS owed 25 years of rent, citing violations of the Land Use Act. This action followed the revocation of 4,794 land titles in March 2025, after repeated notices since 2023 urging property owners to clear outstanding debts.
However, the FIRS maintains that its records show full compliance, with payments made up to 2023, and has demanded transparency from the FCTA. Atoyebi highlighted the timing of the closure, noting it coincides with preparations for the signing of crucial Tax Reform Bills, warning that such disruptions could erode public confidence and delay key fiscal policies.
The sealing of the FIRS office has sparked broader concerns about inter-agency coordination and accountability. Civil society groups have called for the FCTA to publish a list of all defaulting entities and urged the FIRS, as Nigeria’s apex tax authority, to lead by example in meeting statutory obligations.
The FCTA’s enforcement campaign, which has already targeted properties linked to the Peoples Democratic Party, Central Bank of Nigeria, and Nigerian National Petroleum Company, among others, stems from an estimated N6.9 billion in unpaid ground rent from 8,375 property owners, some dating back 43 years. Despite the FCTA’s claim of issuing multiple warnings, the FIRS insists it has been unfairly singled out, with no receipt provided to confirm its payments.
As tensions escalate, analysts warn that the public dispute between two federal agencies could undermine trust in governance and disrupt service delivery. The FIRS has called for a resolution, urging the FCTA to verify its records and retract its claims. For now, the sealed office remains inaccessible, casting a shadow over Nigeria’s efforts to streamline its fiscal and land administration systems.
