Advertisement

Accountant-general opposes finance minister, says 7.5% VAT is in full force

Accountant-general opposes finance minister, says 7.5% VAT is in full force
January 15
15:46 2020
Advertisement

Ahmed Idris, the accountant-general of the federation, says the implementation of the finance bill has begun.

One of the provisions included in the finance bill is the increment of the rate of value-added tax from 5% to 7.5%.

This is a contrary stance to that of Zainab Ahmed, the minister of finance, budget and national planning, who said the implementation date would be announced in due course.

Addressing journalists in Abuja on Wednesday, Ahmed said he stopped the payment for a transaction that occurred in 2019 because the VAT was processed at 5%.

When asked if it was right to use 7.5% VAT on a transaction that was carried out before the finance bill was signed, Ahmed responded that VAT is deducted at the point of payment and not at the point of purchase.

“You cannot implement a budget unless the national assembly passes it and Mr President signs it. So, the decision to increase VAT was debated and members of the public were sensitised and nobody can start deducting that VAT unless the bill is signed,” PUNCH quoted him to have said.

“Just yesterday (Tuesday), I saw a payment which was done last year in December and when I checked the payment, the VAT on it was 5% and I said no it must be 7.5% because the 5% VAT has been overtaken by events because that is the law as at today.

“So I stopped it and asked them to go and recharge at 7.5%. You cannot implement something unless you have the instrument whether administrative or legal for it to be implemented.”

In a statement released on Tuesday, Zainab Ahmed said the implementation would be announced later.

RECEIVE ALERTS FROM THECABLE

WHATSAPP 08113975334
TWITTER @thecableng
Copyright 2020 TheCable. All rights reserved. This material, and other digital content on this website, may not be reproduced, published, broadcast, rewritten or redistributed in whole or in part without prior express written permission from TheCable.
Advertisement

Social Comments

0 Comments

No Comments Yet!

Let me tell You a sad story ! There are no comments yet, but You can be first one to comment this article.

Write a comment

Write a Comment

Your email address will not be published.
Required fields are marked *

*

Advertisement
Advertisement
Advertisement

Exchange Rates

March 25, 2019USDGBPEUR
INTERBANK306397354
LAGOS380478402
KANO375477498
PH380478498
ABUJA375476400
NOTE: The black market rates represent the most prevalent. They could be slightly higher or lower among different sellers.
Advertisement
Advertisement
Advertisement
Advertisement
Advertisement
Advertisement