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FG Proposes NIN, Tax For Foreigners
The Federal Executive Council is suggesting changes to the National Identity Management Commission Act No. 23, 2007, to permit non-citizens residing in the nation to receive a National Identification Number.
On Wednesday, the FEC also introduced the Economy Stabilisation Bill to establish the framework for levying taxes on foreigners who are either living or working in Nigeria.
These legislative proposals aim to broaden the definition of individuals subject to registration to include non-nationals with a taxable presence or income in Nigeria, and to enforce the compulsory use of National Identification Numbers for transactions pertinent to tax administration and related issues.
The government is adding a new section to Section 16 of the law, stating, “Any individual, regardless of citizenship, who is considered to be a resident or otherwise liable to tax in Nigeria under any existing laws.”
Should the bill become law, it would introduce taxation for expatriates and those earning income in Nigeria.
Mr. Bayo Onanuga, the Special Adviser to the President on Information and Strategy, disclosed this information during a briefing for State House Correspondents at the Aso Rock Villa, Abuja, on Wednesday.
Onanuga explained that, “If the National Assembly passes that bill, it provides that everybody living in Nigeria, including foreigners, will now be registered and given NIN.
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“Once you are doing some work here and earning income, you will be registered and given an NIN so that you can be taxed.
“Your NIN will give you your tax identity, and you can also be taxed and come under our tax structure. The law that set up the NIMC initially precludes foreigners from being registered.”
The presidential aide announced a third bill seeking to amend the Nigerian Maritime Administration and Safety Agency Act No.17, 2007, to “provide for the payment of fees and other charges in naira to improve the ease of doing business and for related matters.”
It amends Section 15 by adding a new subsection (2), which says, “All fees, charges, levies, fines and other monies accruing and payable to the Agency under this Act may be paid in Naira at the applicable official exchange rate.”
Onanuga explained, “Hitherto, these agencies were charging in dollars, but now they can always collect it in Naira. This government wants to put a lot of emphasis on our national currency instead of everything being dollarised in our economy. The government is now saying, ‘pay in Naira. Everything doesn’t have to be in dollars.’”