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Home Economy

Tax Waivers: FG sets up committee after customs reported N1.3 trillion loss to waivers

Aghogho Udi by Aghogho Udi
December 14, 2023
in Economy, Tax
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The federal government plans to establish a committee tasked with reviewing the current tax waivers granted to individuals and organizations across the country.  

The announcement was made by the Minister of Information and National Orientation, Mohammed Idris, following a Federal Executive Council meeting chaired by President Bola Tinubu. Mr. Idris emphasized the government’s need for additional revenue to support development projects aimed at improving the lives of all Nigerians.  

The decision to thoroughly examine the issue of waivers is deemed essential for the nation’s best interests. 

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  • He said, “You recall that the Nigeria Customs Service had reported that in 2023 alone they have lost over N1.3 trillion to waivers. Council has decided to look at those waivers and review them so that Nigeria will not continue to lose money at a point where we all need these resources for the development of the country.” 

The Minister announced of Information stated that a dedicated committee will scrutinize the existing waivers, permitting those legally supported to persist. 

  • “What Council agreed today is that a committee is going to work on that because some of these waivers are backed by law, and therefore you can’t just wake up and say we are done with them.
  • “So, the government will review that and see which ones are in the best interest of Nigeria and how to continue to allow them to function. The most important thing to note is that the government is losing a lot of money in that direction, and that is why this very critical decision has to be taken. Only those waivers that are backed by law will be allowed to subsist.” 

What you should know 

The Nigeria Customs Service (NCS) had earlier reported that Nigeria lost about N1.3 trillion due to waivers and concessions granted by former President Buhari. The current administration has plans to increase the country’s tax to 18% of GDP in the next 3 years.  

In July, the President appointed Taiwo Oyedele to chair the Presidential committee on fiscal policy and tax reforms to amend the nation’s tax laws for efficiency.


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Tags: Mohammed Idristax waiver policy
Aghogho Udi

Aghogho Udi

My name is Aghogho Udi, a writer, journalist, and researcher, deeply intrigued by the political economy of Nigeria and the broader African context. My focus lies in shedding light on the intricate connections between macroeconomics and politics, offering valuable insights that foster comprehension of Africa's prevailing economic landscape and the world in general.

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Comments 1

  1. Engr. Johnson says:
    December 14, 2023 at 6:19 am

    Paying tax is good but Nigerians should know what the government is doing with the tax after paying it.

    Fix your roads, 24/7 Electricity for Nigerians don’t allow your Investors running away to Ghana! Good Hospitals!

    Nigeria government should stop putting heavy loads on there people Nigerians are suffering!

    Also stop wastin money.

    Nigerian is a blessed Nation.

    God bless you.

    Reply

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