Senate, Reps Pass Finance Bill

The Senate and House of Representatives have passed the Finance Bill 2021, transmitted to the National Assembly by President Muhammadu Buhari, on December 7, 2021.

They passed the bill on Tuesday following the consideration of a reports from committees of the two chambers of the National Assembly.

The report was presented to the Senate during plenary by the Joint Committee on Finance; Customs, Excise and Tariff; Trade and Investment.

On the other hand, the bill was passed in the House of Representatives after the presentation of the report by the Chairman, House Committee on Finance, James Faleke (APC, Lagos).

Presenting the report, Chairman of the Senate Joint Committee, Senator Solomon Olamilekan Adeola, said the bill seeks to support the implementation of the 2022 Federal Budget of Economic Growth and Sustainability by proposing key specific taxation, customs, excise, fiscal and other relevant laws.

According to him, a total of 12 Acts were amended under the finance bill which contains thirty-nine clauses.

He added that the bill seeks to promote fiscal equity, align domestic tax laws with global best practices, introduce tax incentives for infrastructure and capital markets, support small businesses and promote increase government revenue.

“The Finance Act 2020 was predicated essentially on having no new taxes and no new incentives due to the COVID -19’s impact on the economy as such it was structured across four broad thematic areas; Enacting counter-cyclical measures and crisis intervention initiatives; Tax, fiscal responsibility, and public procurement reforms; Reforming fiscal incentives policies for job creation; Ensuring closer coordination of monetary, trade and fiscal policies; and Enhancing tax administration”, Senator Adeola said.

Presenting his report, Chairman, House Committee on Finance, James Faleke (APC, Lagos) said, the Bill seeks to amend the Capital Gains Tax Act, Companies Income Tax Act, Federal Inland Revenue Service (Establishment) Act, Personal Income Tax Act, Stamp Duties Act, Tertiary Education Trust Fund (Establishment) Act, Value Added Tax Act, Insurance Act, Nigerian Police Trust Fund (Establishment) Act, National Agency for Science and Engineering Infrastructure Act, Finance Control and Management Act, Fiscal responsibility Act.

The bill was voted on and passed by the House.