(3 minutes read)
The Centre for the Promotion of Private Enterprise (CPPE) has called for a total review of the Finance Bill 2022, which President Muhammadu Buhari denied assent citing some irregularities. CPPE, in a statement, said the bill was hastily passed by the National Assembly without inputs from key stakeholders including the private sector.
The Centre for the Promotion of Private Enterprise (CPPE) has called for a total review of the Finance Bill 2022, which President Muhammadu Buhari denied assent citing some irregularities. CPPE, in a statement, said the bill was hastily passed by the National Assembly without inputs from key stakeholders including the private sector.
According to the statement signed by the founder/CEO, CPPE, Dr. Muda Yusuf, there was no room for a public hearing and engagement with stakeholders in the consideration of the bill.
He further said it was puzzling that the Senate gave just 24 hours notice for stakeholders to attend a public hearing on the bill. The public notice was published on 21st December 2022 for a public hearing scheduled for 22nd December 2022. There was a deliberate exclusion of stakeholders from this important legislative process, CPPE argued.
The Finance Bill 2022 contained provisions, such as the imposition of excise duties on all services with rates to be determined by presidential order, imposition of 0.5 per cent tax on all eligible imports from non-African countries to fund Nigeria’s obligations to international organisations, an increase in Tertiary Education Tax from 2.5 per cent to three per cent of company profit.
These proposals, the CPPE argued, have far-reaching implications for investors and citizens. They will affect the cost of production; up the operating cost and undermine investors’ confidence, apart from having profound inflationary implications. He also pointed out that currently, corporate tax is 30 per cent, there is tertiary education tax of 2.5 percent, NITDA tax of one per cent; NASENI Levy of 0.25 per cent; Police Trust Fund tax 0.005 percent.
Read Also:
https://trendsnafrica.com/nigerias-priority-market-for-automotive-maker-chery/
The National Assembly has already passed a bill imposing one per cent tax for NYSC fund, which is awaiting the assent of the president, and another one per cent Tertiary Health Levy is being planned. In the meantime, investors are grappling with macroeconomic headwinds including depreciating exchange rate, illiquidity in the official forex window, spiking energy cost, weak purchasing power, rising interest rate, and surging inflation, CPPE pointed out.
