NEWS
FG Introduces 50% Tax Relief For Companies Increasing Low-Income Worker Salaries
In a bid to strengthen support for low-income workers and stimulate job growth, the Federal Government has introduced a bill proposing a 50 percent tax relief for companies that raise salaries or provide transportation allowances for employees earning below N100,000 per month.
This move is part of broader tax reforms under the proposed “Nigeria Tax Act,” aiming to overhaul Nigeria’s tax system.
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The bill, titled “A Bill for an Act to Repeal Certain Acts on Taxation and Consolidate the Legal Frameworks relating to Taxation and Enact the Nigeria Tax Act to Provide for Taxation of Income, Transactions, and Instruments, and Related Matters,” was presented to the National Assembly for review.
If enacted, the law will enable companies to qualify for a tax deduction in their 2023 and 2024 assessment years, covering wage increases and transportation subsidies for eligible workers.
The tax relief is limited to companies that support low-income employees and does not extend to additional wages for staff with monthly salaries above N100,000.
Additionally, the proposal incentivizes companies to increase their workforce.
Firms that achieve a net increase in hires from 2023 to 2024 and retain these employees for at least three years will qualify for the deduction, provided employees are not involuntarily terminated within this period.
“A company shall be entitled to an additional deduction of 50 per cent…for costs incurred in 2023 and 2024 calendar years on wage awards, salary increases, transportation allowance or transport subsidy,” the bill specifies, outlining provisions that focus on protecting workers’ earnings and employment stability.
Beyond wage relief, the government has also proposed an Economic Development Incentive Certificate as a tax incentive for companies undertaking capital investments.
To obtain the certificate, companies must apply through the Nigerian Investment Promotion Commission (NIPC) and pay a 0.1 per cent fee on their capital expenditure, capped at N5 million.
After the NIPC’s review, applications will be forwarded to the Minister and may be escalated to the President for approval.
This proposed tax bill marks a major shift in Nigeria’s tax policy, designed to boost employment, support low-income workers, and encourage corporate investment in capital projects.
NEWS
REBUTTAL: Rivers Denies Shutting Nigeria’s Oil Production Facilities
The Rivers State government has denied a story about her reaction to an obnoxious court ruling baring the Federal Government from releasing her monthly allocations by shutting Nigeria’s Oil production facilities within her territory.
This was disclosed in a statement issued on Thursday in Port Harcourt under the signature of Hon. Commissioner for Information and Communications, Rivers State, Warisenibo Joe Johnson.
Recall that a Federal High Court sitting in Abuja had ordered the Central Bank of Nigeria (CBN) to stop disbursing Federal Allocations to Rivers State until the issue of proper passage of the 2024 budget is resolved.
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However, Johnson vehemently denied what he described as “spurious news item circulating on social media”.
Under the subject ‘Re: Rivers State Governor Sim Fubara Shuts Down NNPCL’, he maintained that “The report was not only false, but a concocted propaganda from the imagination of the author and enemies of the State.”
The statement reads, “The attention of Rivers State Government has been drawn to a spurious news item circulating on social media on “Gov. Siminalayi Fubara shutting down NNPCL and all oil companies in Rivers State”.
“The report was not only false, but a concocted propaganda from the imagination of the author and enemies of the State. The story was also circulated by an inconsequential and unverified medium.
“Governor Siminalayi Fubara is committed to the rule of law and does not rely on unconventional and crude approaches to respond to matters of governance.
“We therefore enjoin Rivers people and well-meaning Nigerians to discountenance the spurious and fake report as Governor Fubara at no time contemplated and/or directed such needless order of shutting down the economy for any reason.”
NEWS
Budget 2025: Adeleke Presides Over Treasury Board Sittings, Tasks MDAs On Performance
Osun State Governor, Senator Ademola Adeleke chaired the Treasury Board meeting for the 2025 budget, on Thursday and issued a strong admonition to Ministries and Agencies to sustain budget performance on all fronts.
Members of the Treasury Board include the Deputy Governor, Prince Kola Adewusi; Secretary to the State Government, Hon Teslim Igbalaye; the Chief of Staff to the Governor, Hon Kazeem Akinleye; Head of Service, Elder Ayanleye Aina; Attoney General/HCJustice and HC Finance; the Accountant General; Chairman of State Internal Revenue Service among others.
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The Governor scrutinised proposals of various Agencies submitted through the Ministry of Budget and Economic Planning.
The State Governor noted that presentations by the agencies are encouraging but called for a more innovative approach to Revenue and Expenditure process and practice in line with the fiscal procedures and extent laws.
According to the State Governor, the real value of federation allocations to the state has dwindled despite the slight increase in the nominal value but to have a sustainable budget performance for the good of the citizens, political heads and accounting officers should think out of the box by emphasizing high priority projects and programmes.
“I task heads of ministries and agencies to focus on high priority projects. The resources are limited, and our needs are much. So we have to balance both ends by avoiding frivolous programmes and emphasizing areas promoting the five point agenda of this administration.
“You are to conduct full due diligence on your various sectors and programmes. Revenue generation must be driven with vigour but with a human face. Value for money is also key in state expenditure”, the State Governor charged the various ministries and agencies led by the Commissioners and Special Advisers.
Earlier in his presentation, the Commissioner for Budget and Economic Planning, Prof. Moruf Ademola Adeleke assured that the report of the Treasury Board will be submitted to the State Executive Council for approval as a draft budget for presentation to the State Assembly.
He informed the Governor and other state officials that the budgetary process is on schedule to meet the timeline for final processing and approval by both the State Executive Council and the House of Assembly.
Sectors already covered by the Treasury Board meetings include Education, Solid minerals and infrastructure sectors. The board sitting continues today with the Permanent Secretary, Ministry of Budget and Economic Planning, Mrs Yetunde Esan, coordinating the process
International News
US Diplomats In Israel For High-Stake-Talks On Lebanon Truce
Senior U.S. officials are set to meet their Israeli counterparts on Thursday to negotiate a potential agreement aimed at stabilizing Israel’s northern border and reducing the escalating conflict with Hezbollah in Lebanon.
This high-stakes visit comes amid ongoing hostilities in Gaza, where the Palestinian militant group Hamas has rejected multiple ceasefire proposals as Israeli strikes persist.
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Just days before the U.S. presidential election, American envoys Amos Hochstein and Brett McGurk are expected to arrive in Israel.
Their mission focuses on securing a framework that could see Hezbollah withdraw approximately 20 miles (30 kilometers) north, beyond the Litani River.
In exchange, Israeli forces would pull back from Lebanon, allowing the Lebanese army, supported by UN peacekeepers, to manage border security.
Under this arrangement, Lebanon would be responsible for preventing Hezbollah from rearming, while Israel would retain its right to self-defense under international law, according to Israeli media reports.
Lebanese Prime Minister Najib Mikati expressed hope on Wednesday that a ceasefire could be reached “in the coming hours or days.”
Newly appointed Hezbollah leader Naim Qassem has indicated that the group would consider a truce under certain conditions, saying Hezbollah could sustain its resistance but remains open to negotiation.
Qassem’s appointment follows the assassination of his predecessor, Hassan Nasrallah, in an Israeli airstrike last month.
In parallel, U.S. and Qatari mediators are attempting to negotiate a brief humanitarian pause in Gaza, where Israel’s campaign against Hamas is ongoing.
However, on Thursday, senior Hamas official Taher al-Nunu reiterated the group’s stance against a temporary ceasefire, stating, “The idea of a temporary pause in the war, only to resume aggression later, is something we have already expressed our position on.
Hamas supports a permanent end to the war, not a temporary one.”
This proposed pause would have allowed essential humanitarian aid to reach Gaza and opened up negotiations for a longer-term resolution, but Hamas’s rejection of the offer dims prospects for an immediate breakthrough.
As a result, attention remains firmly fixed on Lebanon, where efforts for a ceasefire along Israel’s northern front are likely to take precedence.
Last week, Israeli Chief of General Staff Lieutenant General Herzi Halevi spoke to the growing potential for resolution in Lebanon, saying, “In the north, there’s a possibility of reaching a sharp conclusion.”
Israel’s military has since intensified its strikes, particularly in southern Lebanon, where it issued evacuation orders in areas such as the Palestinian refugee camp of Rashidieh, warning of imminent action following previous strikes.