Category Taxation in Nigeria

Nigeria Expects $1 Billion from Tax Amensty

July 4, 2017 Taxation in Nigeria

tax evasion in NigeriaABUJA – Nigeria is tempting tax dodgers to come forward in exchange for immunity for harsh prison sentences and staggering penalties.

Nigeria has launched a new tax amnesty scheme intended to encourage taxpayers to come clean about their previously undeclared incomes and assets.

The new scheme runs from July 1st 2017 until December 31st 2017, and will grant participants immunity from prosecution for tax offences, and will protect them from harsh penalties and interest charges.

Under normal circumstances, taxpayers in Nigeria who commit tax fraud may be liable for imprisonment of up to 5 years, forfeiture of assets, and penalties of up to 21 percent of the taxes outstanding compounded per year.

To improve the effectiveness of the tax amnesty scheme, authorities have already begun compiling...

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Nigeria Needs to Boost Tax-to-GDP Ratio

April 24, 2017 Taxation in Nigeria

Taxes in NigeriaABUJA – Nigeria has begun to take steps to boost its tax-to-GDP ratio beyond the miserly level of 6 percent.

Over the weekend at the 2017 Spring Meetings of the IMF-World Bank/IMF in Washington DC the Finance Minister of Nigeria said that the national government must take extra efforts to raise the national tax-to-GDP ratio.

Currently the tax-to-GDP ratio in Nigeria sits at approximately 6 percent, one of the lowest rates in the world.

The Minister said that revenue mobilisation if a key avenue for the government to pursue higher tax returns, adding that the primary focuses should be a growth in non-oil revenues, and an increase in budget transparency.

She further explained that the country’s “unacceptably low level of non-oil revenue” was driven heavily by the failure by tax authoritie...

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Nigerian Mobile Tax Should be Dropped

September 1, 2016 Taxation in Nigeria

ABUJA – Using mobile phones in Nigeria could soon be more expensive unless the government drops its newly proposed tax on telecommunication technology.

ActionAid Nigeria has decried a proposed new tax in the country, which would see a significant new cost imposed on the use of mobile calls, SMS, MMS, pay television, and mobile data.

The new tax would be levied at a rate of 9 percent on most mobile services.

The Country Director of ActionAid Nigeria D. Ojobo Ode Atuluku claimed that the bill would unfairly fall on low-income earners, who would face a disproportionately large impact from the tax.

She added that instead of focussing its tax efforts on low-value products, the government should pay its attention to luxury taxes and property taxes.

Ojobo Ode Atuluku also said that the tax would...

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Nigeria Needs Effective New Tax Treaties

March 20, 2012 International Tax CooperationTaxation in Nigeria

Minister of Finance of Nigeria Ngozi Okonjo-Iweala ABUJA – Nigeria needs to improve its use of double taxation agreements, and the government needs to concentrate on ensuring that all future tax agreements are effective and beneficial to the country.

While delivering a speech on March 19th at a workshop on tax treaties in Abuja, the Minister of Finance of Nigeria Ngozi Okonja-Iweala said that the country must continue its ongoing efforts to “… reform our tax system for Nigeria’s competitiveness in the global economy,” and explained that an effective network of international tax treaties was a key element to the reforms.

According to the Minister, the government of Nigeria has initiated a thorough review of the implementation and use of double taxation agreements and tax information exchange agreements.

She said that fostering a wi...

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UK Banks Propping Up Nigerian Corruption

October 15, 2010 Taxation in NigeriaTaxation in UK

42-15535702Major UK banks are being accused of actively aiding corruption and spreading poverty in Nigeria by holding accounts and accepting transactions from corrupt politicians.

A new report by the UK anti-corruption group Global Witness has condemned Barclays, HSBC Bank, the Royal Bank of Scotland, NatWest and UBS for holding accounts and processing transactions of two Nigerian politicians. Allegedly, between 1999 and 2005 the banks accepted millions of pounds in transactions and deposits into accounts held by the Nigerian politicians Diepreye Alamieyeseigha, former governor of Bayelsa State, and Joshua Dariye, former governor of Plateau State, without adequate screenings for signs of corruption or illicit cash flows.

In 2005 Diepreye Alamieyeseigha was accused of corruption after he was discover...

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