STAMP DUTY ADMINISTRATION FOR FINANCIAL INSTITUTIONS IN NIGERIA: WHAT YOU NEED TO KNOW

Stamp duty is a levy on written and electronic documents or instruments. Stamp duties are levied on instruments on either Ad-valorem or flat rate basis and the body in charge of the administration of stamp duties is either the federal Inland Revenue Service (FIRS) (duties on instruments for transactions between corporate bodies and individuals, group, or body of individuals) or the State Internal Revenue Service (duties on instruments for transactions between individuals). 

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TAX DEDUCTIBILITY OF BAD AND DOUBTFUL DEBT: WHAT YOU NEED TO KNOW

An organization in the business of making profit and trade continuity will issue invoices, render a service, and carry out a particular function which is expected to have a direct impact on the inflow of the business. While carrying out the day-to-day operation of the business and in some unexpected situations, the proceeds from the services rendered or goods sold are either never paid or remain unpaid over a long period. 

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FIRS EXTENDS WAIVER OF INTEREST AND PENALTIES ON OUTSTANDING LIABILITIES

INTRODUCTION:

The Federal Inland Revenue Service (FIRS) via a public notice announced an extension of the deadline for filing Company Income Tax Returns due from January 2021 to November 2021 to 30th November 2021.

However, on 30th November 2021, FIRS via the Tax Pro-Max announced the suspension on interest and penalties for all taxes on back years assessment till 31st December 2021.

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VAT (MODIFICATION) ORDER: WHAT YOU NEED TO KNOW

VAT (Modification) Order of 2021 which was signed in September 2021 was issued by The Minister of Finance, Budget, and National Planning in October with a commencement date of 30th July 2021. The Order modifies and expands the list of exempted goods and services in the First Schedule to the Value Added Tax (VAT) Act and provides clarification on the exempted items already listed in the Value Added Tax (VAT) Act.

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TAX IMPLICATION OF FREE TRADE ZONE TRANSACTIONS

Nigeria as a country is always looking for ways to increase foreign and local investments, businesses, and participation in the country and one way of doing this is the establishment of Free Trade Zones. This is not alien to only Nigeria but other countries like Tanzania, Libya, Liberia, Egypt, Mauritius, China Hong Kong, Turkey, etc. Nigeria has 42 licensed Free Trade Zones and 14 functional and operational Free Trade Zones

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GUIDELINES ON SIMPLIFIED COMPLIANCE REGIME FOR VALUE ADDED TAX (VAT) FOR NON-RESIDENT SUPPLIERS

Guidelines on Simplified Compliance Regime for Value Added Tax (VAT) for Non-Resident Suppliers

The Finance Act (FA) 2020 introduced certain amendments to the Value Added Tax Act (VATA). Section 10 of the VATA requires that non-resident persons making a taxable supply of goods and services to Nigeria be registered for tax purposes and obtain a Tax Identification Number (TIN). Also, FIRS is required to issue guidelines to give effect to the provisions of Section 10 of the Act.

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