Withholding Tax Administration and Revenue Mobilisation in the Federal Capital Territory

This research examines the administration of withholding tax (WHT) and its role in revenue mobilisation within the Federal Capital Territory (FCT), North Central Nigeria. Withholding tax, as an advance payment mechanism deducted at source on qualifying transactions, is a critical instrument for capturing tax revenue from both formal and informal contractual relationships. Yet the FCT Inland Revenue Service has reported recurring gaps in remittance compliance, particularly among government contractors and service providers. Using a descriptive design, the study surveys 100 procurement officers and accountants across public and private sector organisations in Abuja. Primary data focus on awareness of WHT obligations, remittance practices, and frequency of deduction errors. Secondary data are obtained from WHT revenue reports of the FCT Internal Revenue Service. Chi-square analysis and descriptive statistics are employed. The study expects to establish that irregular remittance, misclassification of taxable transactions, and poor record-keeping are the principal challenges undermining WHT administration. Findings will highlight the need for comprehensive WHT compliance guidelines, a central electronic remittance platform, and regular training for accounts payable professionals across all sectors. The research also recommends periodic WHT audits targeting high-value government contracts. This study provides practical, policy-relevant insights at an undergraduate level for aspiring taxation professionals entering public finance or private sector compliance roles in Nigeria's administrative capital. Keywords: withholding tax, revenue mobilisation, FCT, remittance compliance, tax administration.