Exciting News from the Tax Reform Front!
The Federal Government is shaking up Nigeria’s tax system with a new legislative bill set to offer a 50% tax relief to companies that boost salaries or provide transportation allowances to low-income workers. This initiative aims to incentivize salary adjustments and promote economic growth.
The proposed law, titled “Nigeria Tax Act,” will introduce income tax exemptions for companies that incur costs to increase wages or offer transport subsidies to workers earning less than N100,000 monthly. Additionally, firms hiring new employees between 2023 and 2024 may qualify for the tax deduction, subject to certain conditions.
Furthermore, the government plans to introduce an Economic Development Incentive Certificate to reward companies investing in capital projects. This tax incentive will be administered through the Nigerian Investment Promotion Commission, offering a promising opportunity for businesses to grow and contribute to the nation’s development.
Stay tuned for more updates on this groundbreaking tax reform bill and its potential impact on Nigeria’s economy!