Giving details on the bill, Ahmed noted that the bill would always be accompanied by finance bills to provide a suitable roadmap in achieving revenue projections. She explained that it would effectively solve the issue of individual income taxes in Nigeria.
Touching on the area of Capital Gains Tax, she explained that the revision of the bill would include taxation of business combination as well as prevent abuse of any of the provisions of the act on group restructuring. She also added that bill would help the government generate extra revenue from stamp duties imposed on electronic transfers.
“Future finance bills will therefore also provide us with additional opportunities to incrementally improve the fiscal policy and regulatory/legal environment in order to further strengthen our domestic capital market, and ultimately ensure sustained and inclusive growth and development.
The President forwarded the Finance Bill 2019 for passage into law in pursuant to Sections 58 and 59 of the Constitution of the Federal Republic of Nigeria, 1999 (as amended).
The Finance Bill has four strategic objectives, in terms of achieving incremental but necessary changes to our fiscal laws. These objectives are:
promoting fiscal equity by mitigating instances of regressive taxation;
reforming domestic tax laws to align with global best practices;
introducing tax incentives for investments in infrastructure and capital markets; and
supporting Micro, Small and Medium-sized businesses in line with our Ease of Doing Business Reforms.