Mrs Zainab Ahmed Archives - Page 3 of 4

land borders to be reopened soon, Finance, Ministaer, vow to recover AMCON debt through issuance of promissory notes, FG reiterates stance on IPPIS as ASUU threatens strike, Finance Minister, Zainab Ahmed identifies capital market as key driver for economic growth , Nigeria has paid $1.09 billion to service its debts in 2019 , Dividends on oil proceeds will be taxed - FG , State governments own most bad roads - Finance Minister says, Budget deficit increases by N351.98 billion, as FG misses revenue target, Economy: Funding MSMEs in Nigeria , Finance Bill: New tax regime to take effect from Jan 2 - FG , Again, Finance Minister argues that Nigeria is not in debt distress , ECOWAS: Single currency regime not kicking off in 2020 , FG: CBN holds N43 billion stamp duty charges collected by banks , FG may shift deadline to deactivate bank accounts without tax verification, Confusion as ministry and presidency disagree over Finance Act start date, 7.5% VAT: Implementation to begin Feb 1 – FG , Finance Minister: Nigeria to go into recession if ..., Foreign tech companies that will now pay tax to FGN: see the criteria

The much-debated and anticipated new tax regime in Nigeria will take effect from the 2nd of January next year.

Zainab Ahmed, N24.9 trillion debt, FG to borrow N1.7 trillion to finance 2020 budget – Finance Minister , VAT Increment: Afrinvest exposes sharing formula of N479.7b expected revenue , Nigeria’s VAT Increase: Penny-Wise, Pound Foolish, Nigeria spends N1.11 trillion to service debt in half year 2019 , Nigeria needs $100 billion annually to fix infrastructural deficit – Finance Minister , Oil: Nigeria makes N5.4 trillion in 1 year , FG secures World Bank’s approval to borrow $3 billion , debt, FG to develop new economic development plan Vision 2040 , Nigeria’s infrastructure gap: Too little too late? , Again, Finance Minister argues that Nigeria is not in debt distress , FG defends $22.7 billion new loans from World Bank, others , Finance Minister wants investors to curb Nigeria’s medical tourism through health investment

Nigeria’s infrastructure gap: Too little too late?

November 14, 2019

Nigeria’s huge infrastructural deficit remains a topical discourse and poses a major hindrance to the growth of businesses and economic ...

FG foreign reserves Nigeria Yemi-Osinbajo, FG negotiates with Governors on bail-out fund, as NEC approves 100 billion for NLTP, bail-out fund States Governors, FG earns N28.6 trillion from VAT, others , Ease of doing Business: States must partner with Federal Government – Osinbajo , AfCFTA: Nigeria’s financial footprints to be extended across Africa – Osinbajo , FG seeks partnership with National Council of Registered Insurance Brokers, here’s why , Osinbajo says FG’s investment to take advantage of Africa’s $200bn tourism potential is massive, Pres. Buhari’s plan to tax US tech companies might provoke US trade war https://www.yemiosinbajo.ng/vps-lecture-at-the-national-defence-college-course-28-lecture-event/ https://punchng.com/digital-firms-to-pay-tax-under-new-finance-act-osinbajo-2/ https://www.nytimes.com/2020/01/31/business/economy/digital-tax-oecd.html Nigeria at risk of trade war with United States as the Nigerian Government says it will impose taxes on technology companies like Facebook, Google, and other digital companies that have been escaping tax payment in Nigeria due to their lack of presence within the country. The US has threatened tariffs on imports from countries that impose such digital taxes. The tech companies with heavy revenue footprint in Nigeria now have their backs against the wall because President Muhammadu Buhari-led administration want to tax them to grow Nigeria’s revenue; which has led to the development of the Finance Act. The Finance Act is the solution of President Buhari to the revenue problem which the Finance Minister, Ahmad Zainab, said Nigeria has. The Nigerian government is looking to grow its revenue through taxes, and one of such is the digital tax which Vice President, Yemi Osinbajo, said will commence despite the threat of the US which is aimed at protecting the silicon companies. No more back door operation: Facebook, Google, Amazon, YouTube and many more digital businesses have a sizeable market in Nigeria, but don’t have a physical structure for their operations; this has cost Nigeria tax revenue. These companies are known to prefer situating their companies in tax havens where taxes are low compared to other African and European countries. Ireland and Bermuda are some of the tax havens for these multinational companies. But according to Osinbajo, the period of making gains from their operation in Nigeria without paying tax is over. Osinbajo, while speaking at The National Defence College, Course 28 Lecture Event, said that, “Let me also briefly mention the new provisions on Taxation of Digital Economy and Non-Resident Companies. This is a very important aspect of our taxation policy. Before the Finance Act, only companies that had a physical presence or a fixed base in Nigeria could be taxed. “So, most digital companies, I mean any of the big technology companies, or multi-national digital companies, that did not have physical offices in Nigeria, made significant income from Nigeria from online activities, such as advertising, movie streaming, online gaming and e-commerce from subscribers in Nigeria, but paid no taxes whatsoever because they did not have a physical base in Nigeria. So now we are no longer relying on the fixed base or physical address criterion.” He added that, “Under the Finance Act, once you have a Significant Economic Presence (SEP) in Nigeria, you are liable to tax. Whether you are a resident here or you are not resident as a company, as long as your economic presence is significant, you are liable to tax. If you are streaming online, advertising using Google adverts, whether you are resident here or not, you are now subject to tax. “So, non-residents who previously had no fixed base and no Nigerian tax liability will now be liable to tax based on the SEP criterion. The Minister of Finance is empowered to issue a regulation defining what Significant Economic Presence means. So, she just defines the scope of what we will be looking out for in terms of Significant Economic Presence.” Osinbajo explained. Nigeria is not alone in this crusade: Nigeria is not the only country trying to tax these technology companies. The European Union have also been coming after them for taxes. The EU is also stating that if the technology companies are making economic gains through their operation despite the lack of physical presence in several European countries, then the tech conglomerates should be taxed. This has led to review of tax laws by the EU. According to a report by New York Times, new rules to tax these multinational companies are being discussed by about 130 countries through the Organization for Economic Cooperation and Development. The review has become necessary as digital economy begins to open new revenue sources. Should Nigeria tread carefully? The United States has threated to hit any country imposing taxes on the technology companies - which are mostly American – with tariffs on import. This put Nigeria at a rather impossible position, as the country is not economically strong enough to enter a trade war or go on a tit for tat battle with the US. According to Q3 report, the US is the fifth biggest export destination for Nigeria, having imported N322.2 billion (6.28%) goods from Nigeria, with crude oil constituting N329.8 billion. Although, the US is behind Ghana, India, Netherlands and Spain, it doesn’t change the significance of the US market to the Nigerian economy. Meanwhile, Nigeria’s top import sources include the U.S, accounting for N747 billion in H1 2019. Franch had moved to tax the online businesses but have now delayed the plan this year after a meeting with the US; the US has also paused its tariff threat against France. Britain is also one of the digital tax drivers. With such threat hanging over the digital tax, it’s unlikely Nigeria will go ahead taxing these technology companies, as US feels such tax is discriminatory against US firms, and have suggested these companies be allowed to decide if they want to operate with the new tax standards., FG will provide succor for daily wage earners as lockdown continues – Osinbajo

FG seeks partnership with National Council of Registered Insurance Brokers, here’s why

by Chidinma Nwagbara

November 2, 2019

In order to tackle the risks associated with investments in the insurance sector, VP, Yemi Osinbajo is seeking support from ...

Bridging Nigeria’s Infrastructure gap; getting the funding

by CSL Stockbrokers

October 29, 2019

Nigeria’s widening infrastructure deficit has been a recurring discourse over the years.

Border closure: IMF lauds Nigeria’s move to curb illegal trade

by Abiola Odutola

October 19, 2019

The IMF has supported FG over its controversial decision to shut its borders over issues bordering on illegal trade.

Ahmed explains why FG needs fresh $3 billion debt from World Bank

by Abiola Odutola

October 17, 2019

Zainab Ahmed has disclosed that the Federal Government requested a fresh $3 billion loan from the World Bank to reform ...

A rundown of what stakeholders are saying at the ongoing #NES25

by Emmanuel Abara Benson

October 7, 2019

The 25th Nigerian Economic Summit (#NES25) is currently ongoing in Abuja.

Crude oil prices, bonny light, 4 key reasons why Brent crude might slip back to $35 per barrel, Crude oil prices resume weekly gains as demand picks up

Nigeria pegs crude oil production at 1.77mbpd

by Joseph Olaoluwa

October 5, 2019

Nigeria will now cut down its crude oil production to 1.77 million barrels per day.

Oil: Nigeria makes N5.4 trillion in 1 year

by Abiola Odutola

September 30, 2019

The Economic report of the CBN has revealed that the country earned N5.37 trillion from the sale of oil between August ...

World Bank, IFC to assist in solving Nigeria’s infrastructure deficit

by Chidinma Nwagbara

September 25, 2019

The World Bank has reiterated its promise to support Nigeria in bridging infrastructure gap alongside the IFC.

Tag: Mrs Zainab Ahmed

Finance Bill: New tax regime to take effect from Jan 2 – FG

Nigeria’s infrastructure gap: Too little too late?

FG seeks partnership with National Council of Registered Insurance Brokers, here’s why

Bridging Nigeria’s Infrastructure gap; getting the funding

Border closure: IMF lauds Nigeria’s move to curb illegal trade

Ahmed explains why FG needs fresh $3 billion debt from World Bank

A rundown of what stakeholders are saying at the ongoing #NES25

Nigeria pegs crude oil production at 1.77mbpd

Oil: Nigeria makes N5.4 trillion in 1 year

World Bank, IFC to assist in solving Nigeria’s infrastructure deficit

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