Connect with us

E-Financial

Our Involvement in Tax Monitoring, Verification by RMAFC

Published

on

Kindly share this post

Revenue Mobilisation Allocation and Fiscal Commission (RMAFC), has said that the on-going monitoring and verification exercise on tax collections by Deposit Money Banks appointed by FIRS and Customs is within its mandate.

 

It said this in a statement issued by Mr Ibrahim Mohammed, head, Public Relations, on Sunday in Abuja, adding that the exercise was in order. Mohammed said as contained in Section 6(1) of the RMAFC Act, 2004, the mandate provided that the commission should have powers to among others, monitor accruals to and disbursement of revenue from the Federation Account.

 

He said the organisation was not a tax authority but a revenue watchdog that monitored revenue collections by revenue generating entities like the Federal Inland Revenue Service (FIRS) and the Nigeria Customs Service (NCS).

 

Other entities it monitored revenue collections from were the Department of Petroleum Resources (DPR), Nigeria National Petroleum Corporation (NNPC) and others that remited directly into the federation account.

 

Mohammed said the revenue streams that accrued into federation account under the watch of RMAFC included tax (Withholding Tax and Value Added Tax) royalties, signature bonuses, customs duties and tariffs among others.

 

According to him, the has clarification is imperative following reports that challenges the legality of the exercise by vested interests.

 

“It is worth clarifying that RMAFC do not deal with individual tax payers directly but monitors collections by collaborating with sister agencies like Central Bank of Nigeria (CBN),NNPC, DPR, Customs and FIRS.

 

“This is to ascertain how much was actually collected and remitted into the federation account to minimise revenue leakages,” he said.

 

He recalled that in an earlier exercise covering January 2008 to June 2012, RMAFC had announced the recovery of N4.2 billion from banks, promising that more recoveries would be made.

 

“Buoyed by the huge success recorded, the commission following the approval of the National Economic Council (NEC) launched the second phase of the exercise covering the period of July 2012 to December 2015 which so far establishes N57.7 billion.

 

“Thus far, N48.7 billion has already been recovered and remitted into federation account while the remaining balance of N9.07 billion which relates to withholding tax on dividend only has been duly released to benefitting states Boards of Internal Revenue (SBIR),” he said.

 

Mohammed, however, said the commission was working to ensure transparency and accountability in revenue generation and remittance with a view to reducing revenue leakages.

 

He added that to achieve that, the commission sought further collaboration and cooperation of revenue generating and regulatory agencies, anti-corruption agencies, Civil Society Organisations (CSOs) and the media.

 

RMAFC was established to monitor accruals into and disbursement of revenue from the federation account, review from time to time, the allocation formula and principles in operation to ensure conformity with changing realities.

 


Kindly share this post

Nigeria CommunicationsWeek believes that technology makes life more exciting and helps improve the lives of people around Nigeria and indeed the world. So since 2007, we have devoted our energy to independent reportage of technology and how they affect lives.

Continue Reading
Advertisement
Comments

E-Financial

Lagos State Appoints MoneyMaster as Payment Partner for “Ounje Eko” Programme

Published

on

Kindly share this post

“Ounje Eko”, the food price discount initiative of the Lagos State Government, has appointed leading payment service bank, MoneyMaster Payment Service Bank Limited (MMPSB), as its collaborator in the bid to ensure ease of payments at the market.

MoneyMaster is one of the Central Bank of Nigeria-licensed Payment Service Banks (PSBs) to promote financial inclusion across Nigeria.

Under the partnership, MMPSB will apply its cutting-edge payment solution to engender easy payment and reconciliation in order to make   the experiences of Lagosians who will be getting their food supplies from the markets pleasurable. Its payment solution is also all-encompassing and ensures real time value to payment destinations.

The mobile bank was appointed as the collection and payment partner for “Ounje Eko” Food Markets programme which is a government initiative serving the five divisions of Lagos State. Consequent on this, MoneyMaster Payment Service Bank will collect payments in 57 LCDAs in the state.

The partnership gives credence to the quality of payment solutions that MoneyMaster is reputed for in its services to its growing business clientele in private and public sectors.

 


Kindly share this post
Continue Reading

E-Financial

CBN, EFCC Probe Banks, Firms over Alleged Forex Racketeering

Published

on

Kindly share this post

Central Bank of Nigeria (CBN), is investigating irregular foreign exchange transactions and forward contracts valued at approximately $2.4 billion.

CBN, EFCC Probe Banks, Firms over Alleged Forex Racketeering

The  inquiry follows an extensive audit by Deloitte, which scrutinized $7 billion in dollar debts accumulated under the bank’s previous leadership.

In the aftermath of the 294th Monetary Policy Committee meeting in Abuja, Yemi Cardoso, governor of CBN,  disclosed to journalists that the investigation, supported by the Economic and Financial Crimes Commission, among other security bodies, aims to clarify the legitimacy of these FX allocations identified as problematic by the audit.

“It was determined that a number of these transactions did not qualify…they were outright illegal. The law enforcement agencies are now looking into those transactions that as far as we are concerned, are not valid to be paid,” Cardoso detailed, emphasizing the unlawful nature of these forex deals.

The crux of the investigation lies in the audit findings that a significant portion of the scrutinized transactions lacked proper documentation and, in many instances, were deemed outright illegal.

However, the unfolding investigation has raised concerns within the organized private sector, with some entities contemplating legal action against commercial banks for unresolved forex bids.

Despite these tensions, Governor Cardoso reassures that the foreign exchange market remains open and transparent, inviting stakeholders to address their forex needs through the official channels.

Furthermore, Cardoso clarified the distribution of fertilizers to farmers as a one-off measure and not indicative of a shift back to direct interventions by the CBN, underscoring a commitment to strategic, regulatory governance rather than direct market involvement.

 

 

 

 

 

 

 

 


Kindly share this post
Continue Reading

E-Financial

CBN Urges Banks to Expedite Action on Recapitalisation

Published

on

Kindly share this post

Central Bank of Nigeria (CBN) has directed deposit money banks in the country to expedite action to increase their capital base from the current ₦25bn.

CBN Urges Banks to Expedite Action on Recapitalisation

Olayemi Cardoso, governor of CBN

Olayemi Cardoso, governor of CBN, stated this during the apex bank’s 294th meeting of the Monetary Policy Committee (MPC) on Tuesday in Abuja, when the MPC hiked the interest rate by 22.75% to 24.75%.

The apex bank chief said the MPC examined developments in the banking sector and expressed satisfaction that the industry remained stable. The committee, however, said to guard against risk, commercial banks in the country should accelerate their recapitalisation efforts.

Cardoso said, “The MPC also reviewed developments in the banking system and noted that the industry remains safe, sound, and stable. The committee thus called on the bank to sustain its surveillance and ensure compliance of banks with existing regulatory and macro-potential guidelines.

“The MPC also enjoined the banks to expedite actions on the recapitalisation of banks to strengthen the system against potential risks in an increasingly globalised world.”

 

 

 

 


Kindly share this post
Continue Reading

Trending