FG Projects N2.5trillion Revenue From Stamp Duties in 2016

The federal government has set its focus an accrual in excess of N2.5 trillion from payment of Stamp Duties from the financial services industry in 2016 as outlined by the Central Bank of Nigeria.

A statement by the special assistant to the Minister of Communications, Adebayo Shittu, Adeyanju Binuyo, said this is indeed a significant contribution to national revenue pegged at N3.8 trillion in the 2016 budget.

According to the statement: “The CBN had in January issued a circular directing all banks and financial institutions to charge stamp duties on lodgments into current accounts with value of N1,000 and above. Indeed, the apex bank had emphasized the need to shore up government revenue from the non-oil sector, especially from taxes and rates. The bank also reiterated that the measure was in compliance with the provisions of the Stamp Duties Act, LFN 2004 as reinforced by a court pronouncement in suit No. FHC/ L /CS / 1710/2013.

“With immediate effect, all Deposit Money Banks and other financial institutions shall commence charging N50 per eligible transaction in accordance with the provisions of the Stamp Duties Act and the Federal Government Financial Regulations 2009; that is, all receipts given by any bank or other financial institution in acknowledgement of services rendered in respect of electronic transfer and other teller deposits from N1,000 and above.”

The statement further described speculations making the rounds that the Nigeria Postal Service (NIPOST) has commenced the process of appointing agents to collect STAMP DUTY on behalf of the Nigeria Postal Service and, by implication, on behalf of the Federal Government, saying the parastatal has not been authorised to appoint new agents in respect of collection of stamp duty, adding that stamp duty collection is serious business that needs diligence in its collection.