Politics

Nigerian government chases tax dodgers abroad. New policy targets foreign assets

Published

5 years ago

October 11, 2018

The President Muhammadu Buhari-led administration has unveiled a new system to ensure that all taxes on foreign assets of Nigerians due the federal government are remitted to the government’s coffers.

The move, the government believes, will strengthen efforts against money laundering and tax evasion.

The new system is captured in a new Executive Order tagged, ‘Voluntary Offshore Assets Regularisation Scheme (VOARS).’

The Executive Order (008) takes effect from October 8, the day it was signed by President Muhammadu Buhari.

According to Buhari’s media aide, Garba Shehu, by the new order, Nigerian taxpayers who hold offshore assets and income are expected to, within a period of 12 months, declare voluntarily those assets and pay taxes on them.

“When they do this, they should expect to derive certain specified benefits,” Shehu said in a statement Wednesday.

He also said that according to the order, “any taxpayer who truthfully and voluntarily complies with the conditions of the scheme, pays a one-time levy of 35 percent on the total offshore assets or pays all outstanding taxes, penalties and interest after forensic audit of their offshore assets and income shall obtain immunity from prosecution for tax offenses and offences related to offshore assets, among others.

“Equally, failure of any defaulting taxpayer to take advantage of this scheme shall, at the expiration of the scheme result in investigation and enforcement procedures concerning offshore assets anywhere in the world pursuant to information now readily available through automatic exchange of information between Nigeria and foreign countries.”

He said in accordance with the new order, the federal government, through the office of the Attorney-General of the Federation and Minister of Justice, Abubakar Malami, will set up a VOARS in Switzerland for all categories of taxpayers who have defaulted in the declaration of their offshore assets, payment of taxes due and collectible subject to the fulfillment of the terms and conditions as stipulated in the order, or any other subsequent complementary regulations that follow.

To avoid the abuse of this process, he said, the federal government makes clear that the “scheme is open to all persons, entities, and their intermediaries holding offshore assets and are in default of their tax obligations in any way, including those who are not already under investigation by law enforcement agencies in Nigeria or any other country and have not been charged with any crimes including theft of public funds or obtaining offshore assets through corrupt practices.”

In signing the order, Shehu said Buhari noted that under Nigerian law, every citizen has the duty to declare his or her income and assets and pay taxes on them but regretted that this, in most instances, had not been the case.

“The sad reality is that efforts to recover these taxes from defaulters through litigation are often frustrated by the complications caused by the change in the character and nature of such assets, insufficient financial intelligence, long delays in courts, among several other reasons,” the presidential aide said.

President Buhari is optimistic that the new scheme will help to facilitate the expedient regularisation of offshore assets connected to Nigeria and lead to “a new expanded tax base for the federal government, and also fund the Nigeria Infrastructure Fund in Switzerland,” he said.

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Politics

Zambian govt says no plan to remove Christian nation clause from constitution

Published

40 mins ago

December 10, 2023

Ifeoluwa Dada

Zambian Vice President Mutale Nalumango has maintained that the ruling party, the United Party for National Development (UPND), has adopted an inclusive approach to constitutional amendments.

Nalmango made the reiteration while answering questions before the National Assembly following concerns raised by Bwacha Member of Parliament, Sydney Mushanga, who questioned the government’s alleged intentions to tamper with constitutional provisions without engaging stakeholders.

Vice President Nalumango emphasised that the government’s guiding principles were firmly rooted in Christian values, and clarified that the government had no plans to remove clauses like the Christian nation clause.

She declared, “The government espouses Christian values, and we want to make that clear,” calling for an end to discussions based on false claims. “Christianity serves as the foundation for our values”.

She also confirmed her commitment to consultative decision-making. She stated, “Government has made it clear that it will first amend non-contentious clauses of the constitution in consultation with the stakeholders.”

In response to mounting pressures within the country following years as one- and later two-party states, the Zambian constitution was changed in 1991 to allow the reintroduction of a multiparty system.

Under the terms of the constitution, the president appoints the vice president, the chief justice, and members of the High Court on the advice of the Judicial Services Commission.

Politics

Uganda begins withdrawal of troops from eastern Congo DR

Published

2 hours ago

December 10, 2023

Ifeoluwa Dada

Uganda has started the withdrawal of 1,000 troops deployed for a regional peacekeeping mission in the Eastern Democratic Republic of the Congo (DRC).

According to a statement released by the military, Uganda’s decision not to extend the mandate of the East African Community Regional Force (EACRF) past December 8 prompted the withdrawal.

At its meetings in Arusha, Tanzania, the CDF affirmed the DRC’s decision and advised the defence ministers of the East African Community (EAC) to formally terminate the EACRF’s operations in the country’s vast eastern region, effective December 8.

UPDF’s contingent spokesperson, Capt. Ahmad Hassan Kato, “UPDF will ensure to expedite the pull-out of its forces and equipment within the approved timelines as enshrined in the extraordinary meeting of EAC CDFS (Chief of Defense Forces) held on December 6.”

“The Uganda contingent urges all armed groups (in the Eastern DRC) to facilitate the withdrawal of the UPDF troops by observing a total ceasefire to allow the forces to exit the mission area safely,” said Kato.

Aside from EAC forces, the United Nations Organization Stabilization Mission in the Democratic Republic of the Congo, also known as (MONUSCO), has around 12,400 troops in the Congo, with a cost of over $1 billion per year.

Lately, there has been an upsurge in violence in Congo, DR. High rates of civilian casualties and displacement have been caused by hostilities with neighbouring countries, political violence, extrajudicial killings by security forces, and conflicts between militant groups over territory and natural resources.

According to the United Nations, more than 100 armed groups and local militias operate in the eastern DRC.