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FG Confirms Implementation of 7.5% VAT Begins February 1

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The Federal Government will from February 1 begin the implementation of 7.5 per cent Value Added Tax espoused by the finance law.

The law, according to the government, will take effect after all the necessary administrative procedures must have been completed, especially the gazette of the Act by the Federal Ministry of Justice.

The Minister of Finance, Mrs Zainab Ahmed, confirmed the development on Thursday in Abuja at the inauguration of the board of the Federal Inland Revenue Service.

She said the February 1 commencement date had put to rest every speculation regarding the take-off date of the new VAT regime.

The minister said once a bill is signed into law, it takes effect immediately, but noted that there were certain administrative procedures and formalities to be finalised before commencement.

The VAT increase which is meant to help government achieve its revenue projections for the 2020 budget is a part of the tax reforms included in the 2019 Finance Act.

She said with the Act, there would be more revenue to finance key government projects especially in the areas of health, education and critical infrastructure.

She said, “The implementation of the Value Added Tax is to take effect from February 1, 2020, after all the necessary administrative procedures have been completed, especially the gazette of the Act by the Federal Ministry of Justice.”

The minister’s remark contradicts an earlier claim by the Accountant General of the Federal, Ahmed Idris, who said the new VAT increment took effect from January 13 when the 2020 Finance Act was signed.

She told the members of the FIRS board that the responsibility bestowed on them was critical to the smooth operation of the various tiers and arms of government in Nigeria and, by implication, the well-being of the Nigerian people.

The newly appointed Executive Chairman of the FIRS, Mr Muhammad Nami, vowed to reposition the service for improved performance.

Nami said he would implement policies that would ensure maximum increase in tax revenue.

As tax administrators and custodians of the Nigerian tax system, he said the FIRS had a responsibility to the nation to implement all tax policies and laws in a manner that would ensure optimal benefits to the nation.

In achieving these objectives, he said his agenda to reposition the FIRS for better service to taxpayers would be anchored on four cardinal pillars.

They are rebuilding FIRS’ institutional framework by strengthening the capacity of departments and units to deliver on their mandates and robust collaboration with stakeholders to eliminate critical bottlenecks in the tax system.

Others are to build the FIRS into an institution that supports Nigeria’s longing to become an investment destination and to make the FIRS an agency in which its people, processes, and technologies are all geared towards a clear goal.

In order to achieve these agenda, he said within the next three months, a lot of initiatives would be implemented.

Some of these initiatives are to build staff capacities for service delivery; closing of all lien cases in order to build new enforcement strategies; and restructuring and repositioning of audit function.

Others are review of structures for optimal performance; capacity building on the finance law and other tax programmes; review of Tax Clearance Certificate administration process and revamping of the Integrated Tax Administration System.

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Naira Gains Against Dollar, Trades at N1,453/$1

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The Naira continued its appreciation at the official market on Thursday, March 21, 2024 to close at N1,453.28/$1, according to data from the Nigerian Autonomous Foreign Exchange Market (NAFEM).

This represents an appreciation of N39.33 when compared to the N1,492.61/$1 it closed on Wednesday, March 20, 2024.

The intraday high was N1,598/$1, while the intraday low was N1,300/$1, representing a wide spread of N298/$1.

Similarly, the Naira appreciated against the dollar at the parallel window to trade at N1,500/$1, this represents an appreciation of N20.00 as against the N1,520 /$1 it traded the previous day.

The Naira also appreciated slightly against the British Pound to trade at N2,000/£1 as against the previous trading day’s price of N2,020/£1 representing a gain of N20 for the local currency.

The Canadian dollar, however, closed flat against the naira to trade at N1,270/CA$1 same as the N1,270/CA$1 it traded the previous day representing a decline of N20 in the local currency.

The Naira gained N30 against the Euro to trade at N1,670/€1 as against the previous closing price of N1,700/€1.

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Global Money Week: MoneyMaster PSB Trains Students on Savings Culture

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2024 Global Money Week: MoneyMaster PSB trains students on savings culture

MoneyMaster Payment Service Bank Limited (MMPSB), Nigeria’s leading payment service bank, is poised to train 5,000 students on the need to embrace savings and investment culture in commemoration of the 2024 Global Money Week.

Tagged “Catch them Young” experiential campaign, the programme aims to have the students drawn from schools in Nigeria participating in the week-long financial literacy training in the bank’s coordinating centres across 10 participating states of the Federation.

In the same vein, MMPSB will equally engage teachers and enlighten them on basic knowledge of savings and investment for future purposes.

The 2024 Global Money Week with the theme “Protect your money, secure your future,” is billed for March 18 to 24, 2024.

MMPSB  disclosed in a press release that it was  committed  to the provision of top-notch banking services to its customers at all times, including payment services through wallets, savings, individual and business accounts, as well as provision of a platform for customers to buy airtime/data, pay bills and subscribe to cable television, amongst others.

“As part of the week-long celebration, MoneyMaster PSB will also be releasing thought leadership videos on safety and security on how banking customers can protect themselves. These videos will be shared to its customers via direct email and also on its social media handles for the benefit of the general public,” the bank further said.

Global Money Week is an annual event which creates global awareness-raising campaign on the importance of ensuring that young people, from an early age, are financially aware, and are gradually acquiring the knowledge, skills, attitudes and behaviours pivotal to making sound financial decisions and ultimately achieve financial well-being.

This year’s edition is focused on safe money management, and the importance of adopting a responsible and informed approach to personal finance, by being aware of potential risks in the financial sector and protecting one’s hard-earned money.

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Fidelity Bank Shares 3000 Food Packs Among Residents of Zamfara Community

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Leading Financial Institution, Fidelity Bank Plc has distributed over 3000 food items to vulnerable households and less privileged families in Gusau, Zamfara State.

The donation is a gesture under the bank’s Corporate Social Responsibility (CSR) Initiative created to reach out to vulnerable persons and reduce the effect of hunger in the society.
Speaking at the event, the bank’s Regional Head, North West 2, Muhammad Ahijo, noted that “The Fidelity Food Bank Initiative is aimed at alleviating the hardship experienced by many in the face of current economic challenges in the country.
His words “At Fidelity Bank, we recognize the importance of supporting and empowering communities to grow and prosper and we believe that by investing in the well-being of the communities where we operate, we contribute to the creation of a better society for all.”
“We firmly believe that by addressing the root causes of poverty and alleviating hunger, we can make a meaningful impact on the lives of those in need. And in light of this, Fidelity Bank has donated 3,000 food packs to vulnerable families in the state, to help them get through these tough times.” He stated.
Applauding the initiative by Fidelity Bank, Zamfara State Governor, Dauda Lawal, represented by his Chief of Staff, Alhaji Mukhtar Lugga, noted that “We are grateful for the kind gesture from Fidelity Bank in providing support to vulnerable households and less privileged families in our community. This is coming at a time when people cannot afford a meal before and during the holy month of Ramadan”.
On his part, the Accountant General of Zamfara State, Alhaji Ali-Akilu Muhammad, thanked Fidelity Bank for its generosity and urged other banks operating in the state to emulate the Fidelity Bank gesture by providing succor to the less privileged families in the state.
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