THE TAXAIDER NEWSLETTER VOL 2, ISSUE 12 (DECEMBER 2020)

First Thoughts:

Focusing on the Rear-view Mirror

Finally, it’s Day 366 of 366 and the nostalgic feeling I have right now can only be best imagined. In my over three decades of existence, I can say without mincing words that 2020 has been by far the toughest. I’m 100% certain I am not alone on this table. We are so many. In fact, we are a legion!

How often do you use your rear-view mirror when you drive? I’ll bet you find yourself looking into this mirror a lot of times, especially when you have to drive on a road with a fair amount of traffic. You check the rear-view mirror usually to know what is happening behind you and to determine if it is safe to reverse, switch lanes, or basically just have an idea of the activities of the other commuters behind you. In summary, the rear-view mirror is mostly used for caution and does not exactly help your cause as a driver if you are to arrive at your destination.

Now, let’s bring it all home. 2020 has been a year that literally shocked the world. I watched a video earlier today that was a collection of prophecies of many clergymen at the end of 2019. No one seemed to have an idea that 2020 would be the year it has been as they kept spilling out positive news and beautiful promises. I am certain more predictions would go out tonight as well even though I have a funny feeling these predictions would be made erring on the side of caution.

However, the mistake many of us should not make would be to be so fixated with the events of 2020 that we allow this becloud our hopes and plans for 2021. Doing this would be like driving while staring into the rear-view mirror. A driver who does this would crash sooner than later. It’s time to let go off the past and look straight ahead. Have a sense of urgency and avoid complacency this new year and perhaps, it could be your best year yet.

In this Issue:

  • We take a brief review on taxation in Nigeria in 2020.
  • We look at the recently approved Nigeria’s 13.5trillion 2021 budget in the piece, ‘Nigeria’s N13.5trillion 2021 budget – A Step in the Right Direction?
  • We also discuss what your tax management plans should be in ‘Planning your tax calendar ahead of 2021’.
  • The Lagos Chamber of Commerce and Industry (LCCI) DG; Dr. Muda Yusuf, stated that Nigeria’s inflation rate, which has risen for 15 consecutive months so far, will continue its climb by 2021. This was disclosed during the Economic Review for 2020 and Outlook for 2021. Read more here.
  • Lagos State House of Assembly has approved the sum of N1.163 trillion for Lagos State’s 2021 budget. Read more here.
  • Nigerian stocks ranked world’s best-performing stock market in 2020. Nigerian Stock Exchange market capitalization now stands at N20.447 trillion. Read more here.

Please don’t forget to follow us on Social Media. You can find us on Twitter, Facebook, Instagram and LinkedIn. We appreciate your feedbacks as usual.

Please stay tuned to our TaxThursday bulletins, our website and of course our mobile application, TBook.

Please don’t forget to follow us on Social Media. You can find us on Twitter, Facebook, Instagram and LinkedIn. We appreciate your feedbacks as usual. Please continue to send them. Feel free to read more of our publications on our website. You can email us on intelandcomms@taxaide.com.ng or if you prefer, call us on 0700TAXAIDE.

I look forward to seeing you in 2021. Happy New Year!

GB (g.sile@taxaide.com.ng)