The Senate through its Committee on Finance , has moved against the proposed 6 trillion NairA tax and import duties waivers proposed in the N19.76 trillion Naira 2023 budget with an projected deficit of N12.4 trillion Naira.
It has consequently directed the Nigeria Customs Service , to carry out a downward review of the proposed waivers by 50% and also tasked the Federal Inland Revenue Service, to critically tackle abuse of tax credit by some companies .
These were the fallouts of the interface between the Committee and the Minister of Finance , Budget and National Planning , Zainab Ahmed as well as heads of revenue generating agencies in the country on the proposed 2023 – 2025 Medium Term Expenditure Framework and Fiscal Strategy Paper.
Nigeria’s Finance Minister had informed the committee at an interactive session, that the proposed 19.76 trillion Naira 2023 budget will have a deficit of 12.43 trillion Naira due to the projected 6 trillion Naira tax and import duty waivers and also fuel subsidy payment of more than 6 trillion Naira for the whole year.
But the committee chairman, directed the Minister to look into the list of beneficiaries of the waivers for required downward review to 3 trillion naira with an possible reduction of the 12.43 trillion naira projected deficit .
But the FIRS Chairman , Muhammad Mamman Nami , told the committee that tax credit is an important innovation of government which has yielded positive results since September 2019 when it was introduced through Executive order 007 by President Muhamnadu Buhari .
He urged the committee not discard it as it is only given to companies with evidence of project execution.
The interface continues on Today with the Governor of Central Bank , Godwin Emefiele and Group Managing Director of Nigerian National Petroleum Corporation Limited ( NNPCL) Mele Kyari are expected to appear before the Committee .
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