🍃 president Bola Ahmed Tinubu’s GCFR new Tax Reforms Summarized.
Hon. Dahiru Hammandikko
1. Any business with less than ₦50 million turnover are exempted from tax payment.
2. Over 90% of workers in public and private sector will no longer pay income tax.
3. Over 82% of what low income persons consume will be VAT free.
4. Scrapping over 50 nuisance tax suffered by local businesses.
5. VAT will no longer be calculated based on where the companies have their headquarters but where their goods are consume.
6. The rich to pay more tax while the poor will stop paying taxes..
7. Consumption tax collected by states will be eliminated completely.
8. FG share of VAT to reduce from 15% to 10% as states and LGAs now get 90%.
9. Those earning less than ₦1.7m monthly will now pay less income tax.
10. Customs, NUPRC and other govt agencies will no longer collect tax as only one Agency will be responsible for collection of all taxes in NGR.
11. Those receiving less than ₦9million per anum could have their income tax cut by half.
12. The bill could lead to abolition of other multiple tax laws like the stamp duty act.
13. Over 90% of small business would no longer pay profit tax.
14. Gradual increase of VAT from 10% in 2025 to 15% in 2030… With almost every goods consume by low income earners exempted from VAT.
15. Many NGR companies pay over 60 types of different tax & levies… The bill seeks to end this factor killing NGR industries.
*Hon Dahiru Hammandikko*
National Coordinator/ Convener
Northern Region Support’s Tinubu/ Kashim
*6th, December, 2024.*
