x

FG to slash levy on imported cars from 35% to 5%

There are indications that the  federal government is working towards slashing  levy  on imported cars from 35 percent to five percent.

This is contained in the draft bill of the 2020 finance bill to be presented to the national assembly.

The bill becomes law after it is passed by the legislature and assented by President Muhammadu Buhari.

Details of the bill  shows that the import duty of tractors and motor vehicles for the transportation of goods has been slashed from 35 percent to 10 percent.

The bill also grants tax relief to companies that donated to the COVID-19 relief fund under the private sector-led Coalition against COVID-19 (CACOVID).

To improve ease of doing business, the bill also proposes that software acquisition now qualifies as capital expenditure.

Zainab Ahmed, the minister of finance, budget, and national planning, had previously explained that the reduction in import duties and levies is targeted at reducing the cost of transportation.

 “The reason for us is to reduce the cost of transportation which is a major driver of inflation especially food production,” she told state house correspondents at the end of the federal executive council (FEC) on Wednesday, November 18.

In 2019, Hameed Ali, the comptroller-general of the Nigeria Customs Service had urged the federal government to reduce the levy paid on imported cars to 10 percent.

At the time, Ali argued that the levy, which is paid in addition to the 35 percent import duty, has discouraged importers; causing them to divert their importation to neighbouring countries and heightened smuggling.

Hot this week

Editors Urge Government To Create Safe, Enabling Environment For Journalists

· Ask security agents to find missing Vanguard journalist As...

EXCLUSIVE: Buhari orders probe of Isa Funtua, AMCON over keystone and Etisalat

Following the controversy generated by the leading opposition party,...

6 Signs your boyfriend thinks you are ugly -Take note of No. 2

They say there are three kinds of people; the...

2023: South-East, Middle Belt Forum Endorses Peter Obi

The South-East and Middle Belt Forum has endorsed the...

FG, States, LGCs Share N2.001 Trillion From A Gross Total Of N3.836 Trillion For The Month Of July 2025

By Oladosu Adebola Oluwaseun The Federation Account Allocation Committee...

Attack on Katsina Mosque, Killings Condemnable, Speaker Abbas Mourns Worshippers

By Oladosu Adebola Oluwaseun The Speaker of the House...

TCN Takes Anti-Vandalism Campaign to Edo Communities

By Jabiru Hassan The Transmission Company of Nigeria (TCN) has...

Muslim Ummah Urged to Love Prophet Muhammad

By Muhammad Ibrahim, Sokoto Chief Imam of Buhari Dan Shehu...

Sokoto NUJ Council Discusses Pending Issues at Congress

By Muhammad Ibrahim, Sokoto The Sokoto State Council of the...

Sokoto Council Of NUJ Holds Congress As Commissioner Of Police Presents Paper

By Muhammad Ibrahim, Sokoto The Sokoto State Council of the...

Benue Assembly Suspends 4 Members As Attempt to Impeach Speaker Fails

23-8- By Isaac Kertyo, Makurdi  Benue State House of Assembly has...
spot_img

Related Articles

Popular Categories

spot_imgspot_img