15 December 2020 by James Itodo
Senate has passed Finance Bill 2020 transmitted to it by President Muhammadu Buhari on November 25 for consideration.
The bill with 77 clauses was passed following consideration of a report of the Senate Joint Committee on Finance, Customs, Excise and Tariff, Trade and Investment and Public Procurement at the Commitee of the Whole.
Chairman of the Joint Committee, Senator Solomon Adeola while presenting the report said the
finance billl 2020 seeks to amend 17 key finance acts.
He listed the acts to include : Capital Gains Act, Companies Income Tax Act, Industrial Development (Income Tax Relief) Act, Personal Income Tax Act,.
Others are the Tertiary Trust Fund Act, Customs and Excise Duties Tariff, Value Added Tax Act, Stamp Duties Act, and Electronic Transaction Levy.
Other areas are: Federal Inland Revenue Service (Establishment) Act, Nigeria Export Processing Zone Authority Act, Oil and Gas Export Processing Zone Act; Crisis Intervention Fund, Unclaimed Funds Trust Fund; Companies and Allied Matters Act, 2020, Fiscal Responsibility Act; and Public Procurement Act.
Buhari had in the letter dated November 25 that transmitted the bill said its passage would support the implementation of 2021 budget.
This, Buhari had noted would be archived via strategic reforms on specific taxation, customs, excise, fiscal and other laws.
He said the proposed amendment to the bill seeks to adopt appropriate counter-cyclical fiscal policies to respond to the economic and revenue challenges caused by decline in international oil prices and impact of COVID-19.
“Reform extant fiscal policies to prioritize job creation, economic growth, socio-economic development, domestic revenue mobilization, as well as to foster closer coordination with Monetary and Trade Policies.
“Provide fiscal relief for taxpayers by reducing the applicable minimum tax rate for two years consecutive years of assessment, as well as reforming the commencement and cessation rules for small businesses.