Business

Finance Minister, Kemi Adeosun Comes Hard For Tax Evaders, List To Name UK Property Owners Underway

Published

7 years ago

April 24, 2017 10:27 am

A major crackdown on tax evaders is on the way, Finance Minister Kemi Adeosun said yesterday.

They will be named and shamed – in a desperate move to improve the tax to Gross Domestic Product (GDP) ratio and expose evaders.

The minister, who spoke at the end of the 2017 IMF/World Bank Spring Meetings in Washington, said Nigeria has the worst tax to GDP of six per cent in the world, as only 13 million people pay their taxes.

She spoke of collaboration with the British Government to ensure that Nigerians who own properties in the UK pay taxes in Nigeria. She said that many of the people who fly business class, and own houses in the UK will have to be watch listed. “If you buy business class ticket, we will probably be looking at, is this person a tax payer anywhere?”

“At every data point of government, we will be picking up information that will be used to compare people to pay taxes. There is going to be much better collaboration from the international community,” she said.

According to her, a lot of money has left Nigeria, and there is UK focus on sharing the data. “So, under the Beneficiary Owners Register, which has been signed, with the David Cameron administration, the UK is going to give us the list of everybody that owns properties in the UK, once it is owned by a Nigerian. That will enable us to say: ‘Is this person who owns four or five properties in the UK, how much tax are you paying in Nigeria?’

“So, it is going to be a very systematic process, using a lot of data and moral-suasion on the people, telling them that this is the time to do the right thing because that is the only way the country can move forward.”

She said: “When we travel, and we say, look at their roads, look at their airports, they have a very good tax system. Nigeria has one of the worst tax to GDP ratios in the world. We have to find ways to make our tax collection much more effective. Once we have spent time on data, we will encourage people to pay taxes, and from there, we’ll move to naming and shaming tax evaders.

“We only have about 13 million tax payers in Nigeria at the moment and about 12.5 million of them are Pay As You Earn (PAYE). So, all the wealthy and self-employed that pay taxes are only 500,000. People are going to be invited, and it is really the wealthy and rich that will be invited. We want to be much more aggressive on tax payment, not because we want to witch-hunt anyone, but because we have to, because it is the job of government to ensure revenue redistribution from the high and low.”

“So, people have to contribute their fair share. Those, who for years have been able to get away with evading tax should know that the game is over. It is time to do the right thing,” she said.

Mrs Adeosun said there were no plans to introduce new taxes, but implementation of tax laws will get attention.

The minister said the government had been gathering data. “That is why you hear that about over 800,000 companies have been put into the tax net. How was that done? We simply went to the Corporate Affairs Commission (CAC) to know the number of registered companies and then check their tax records. A report recently went out from the Accountant-General’s Office, and anybody who has payment to collect must have up-to-date tax status. So, everything we are doing is driving people into the tax net,” she said.

Mrs Adeosun said Nigeria has six per cent tax to GDP ratio where as Ghana and South Africa have 15 per cent, 30 per cent.

On the recovered loot, the minister said the funds were being put in a collection account, and will be used to fund part of the budget.

Mrs Adeosun said all agencies of government must now give monthly reports on how much they have recovered and that the funds are being kept for key projects.

Business

JUST IN: CBN reduces banks’ LDR to 50%

Published

1 day ago

April 17, 2024 4:51 pm

BodexNG

The Central Bank of Nigeria has announced a review of the loan-to-deposit ratio (LDR) for banks, from 65 percent to 50 percent to align with the current monetary tightening.

LDR is used to assess a bank’s liquidity by comparing its total loans to its total deposits.

An increase in the loan-to-deposit ratio allows banks to expand their credits to businesses and individuals, however, a decline in LDR reduces their ability to loan customers from depositors’ funds.

The CBN disclosed the increase in a circular on Wednesday titled ‘Re: Regulatory Measures to Improve Lending to the Sector of the Nigerian Economy’, signed by Adetona Adedeji, its acting director of the banking supervision department.

“Following a shift in the Bank’s policy stance towards a more contractionary approach, it is imperative to review the loan-to-deposit ratio (LDR) policy to align with the current monetary tightening by the CBN,” the apex bank said.

“Accordingly, the CBN has decided to reduce the LDR by 15 percentage points to 50%, in a similar proportion to the increase in the CRR rate for banks.

“All DMBs are required to maintain this level and are further advised that average daily figures shall continue to be applied to assess compliance.

“While DMBs are encouraged to maintain strong risk management practices regarding their lending operations, the CBN shall continue to monitor compliance, review market developments, and make alterations in the LDR as it deems appropriate.”

Business

WhatsApp launches chat filters to allow users find messages faster

Published

2 days ago

April 17, 2024 12:40 pm

BodexNG

WhatsApp, the messaging app, has introduced chat filters to allow users to navigate through messages faster and more efficiently.

The Meta-owned platform announced the new feature in a blog post on Tuesday.

WhatsApp said it launched the new feature so that users can get to their important messages without having to scroll through their full inbox.

The social media service said the chat filters have three different features: “All, Unread, and Groups”.

It added that users can choose between any of the three filters that will appear at the top of their chat list.

“Opening WhatsApp and finding the right conversation should feel quick, seamless, and simple,” the post reads.

“As people increasingly do more on WhatsApp, it’s more important than ever before to be able to get to your messages fast.

“We believe filters will make it easier for people to stay organized and find their most important conversations and help navigate through messages more efficiently.

“We will continue to build more options to help you focus on what matters most.”

In recent times, WhatsApp has been actively rolling out new features to enhance user experiences and keep up with evolving communication trends.

In July last year, the Meta-owned firm unveiled an instant video messaging feature.

On August 8, the social network introduced a screen-sharing feature to enhance the video calling experience on its platform.

WhatsApp also introduced a feature that allows users to operate multiple accounts on a single device.

Business

NCAA suspends three private jet operators for engaging in commercial flights

Published

3 days ago

April 16, 2024 2:42 pm

BodexNG

The Nigerian Civil Aviation Authority (NCAA) says it has suspended the permit of three private jet operators for engaging in commercial flights.

Chris Najomo, acting director general of the NCAA, announced the suspension of the three private operators in a statement read to all airlines on Tuesday.

This is coming a day after Festus Keyamo, minister of aviation and aerospace, said the federal government would arrest and sanction illegal flights and non-certified personnel.

Najomo said the use of private jets for commercial purposes got Keyamo’s attention in November 2023, prompting the minister to issue directives for the cessation of such activities.

“Subsequently, in March 2024, the NCAA had issued a stern warning to holders of the permit for noncommercial flight (PNCF) against engaging the carriage of passengers, cargo or meal for hire reward,” Najomo said.

“The authority had also deployed its official to monitor activities of private jet terminals across airports in Nigeria. As a consequence of this heightened surveillance, no fewer than three private operators have been found to be in violation of the annexure provision of the PNCF and part 9114 of the NCAA regulations.

“In line with our zero tolerance for violation of regulations, the authority has suspended the PNCF of these operators.

“To further sanitise the general aviation sector, I have directed that a reevaluation of all orders of PNCF be carried out on or before the 19th of April 2024 to ascertain compliance with regulatory requirements.”

Najomo also said all PNCF holders will be required to submit relevant documents to the authority within the next 72 hours.

“This riot act is also directed at existing air operators certificate (AOC) holders who utilise aircraft listed on the PNCF for commercial chatter operations,” Najomo said.

“It must be emphasised that only aircraft listed in the operation specifications of the AOC are authorised to be used in the provision of such charter services.

“Any of those AOC holders who wish to use the aircraft for charter operations must apply to the NCAA to delist it from their PNCF and include it into the AOC operations specifications.”

The NCAA also urged travellers not to patronise any airline or charter operator who does not hold a valid AOC issued by the NCAA when they wish to procure chartered operation services.

Najomo also encouraged legitimate players in the aviation industry to report the activities of such “unscrupulous” elements to the authorities promptly for necessary action.

Bodex F. Hungbo, SPMIIM is a multiple award-winning Nigerian Digital Media Practitioner, Digital Strategist, PR consultant, Brand and Event Expert, Tv Presenter, Tier-A Blogger/Influencer, and a top cobbler in Nigeria.

She has widespread experiences across different professions and skills, which includes experiences in; Marketing, Media, Broadcasting, Brand and Event Management, Administration and Management with prior stints at MTN, NAPIMS-NNPC, GLOBAL FLEET OIL AND GAS, LTV, Silverbird and a host of others