The President of the Federal Republic of Nigeria by a letter dated November 30, 2021, transmitted the Finance Bill 2021 (herein called the Bill) to the National Assembly for consideration and passage into law. Since 2019, the Finance Act has become a very special and important legislation that addresses pressing loopholes and shortcomings in existing tax and other related legislation. It achieves this by proposing amendments to the provisions of existing tax laws and other related laws, by repealing or introducing new provisions to the target laws to provide innovative solutions to identified challenges in the tax system.
The Bill transmitted to the National Assembly seeks to amend twelve (12) legislations to wit:
a. The Capital Gains Tax Act;
b. Companies Income Tax Act;
c. Federal Inland Revenue Service (Establishment) Act;
d. Personal Income Tax Act;
e. Stamp Duties Act;
f. Tertiary Education Trust Fund (Establishment) Act;
g. Value Added Tax Act;
h. Insurance Act;
i. Nigerian Police Trust Fund (Establishment) Act 2019
j. National Agency for Science and Engineering Infrastructure Act;
k. Finance Control and Management Act; and
l. The Fiscal Responsibility Act
This article examines and reviews the salient innovations introduced by the Bill.