The Executive Chairman of the Federal Inland Revenue Service (FIRS), Dr. Zacch Adedeji on Friday opened discussions with the Minister of Works and the Nigerian National Petroleum Corporation Limited, to find a sustainable approach for the implementation of the N2.7trillion Tax Credit Scheme introduced by the administration of former President Muhmadu Buhari.
Dr. Adedeji while appearing before the Senate Committee on Finance, picked holes in the three year tax credit scheme explaining that it was an abuse of due process, a reason for Friday’s meeting.
The revenue boss had also argued that the method with which the Tax credits were issued was an aberration to the roles of the FIRS, NNPCL, and Ministry of Works.
After the meeting, both the NNPCL represented by CFO Umar Aliyu and the Minister of Works Dave Umahi and the FIRS agreed that tax credit scheme will go ahead according to the directive of President Bola Tinubu.
They also resolved that all NNPCL road infrastructure projects that have started should not be expanded but continue to the amount of N2.59 trillion.
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According to a statement on the FIRS Facebook page, “All non performing contracts should be terminated immediately and re awarded immediately. Contractors are warned that the project will not be executed as they are presently done.
“A memo agreed upon by the three organizations shall be written and sent to President Bola Tinubu for the N2.73 trillion funding gap on the road infrastructure project and channeled through the National Assembly for approval.”
The three government officials further agreed that in the review process, the going rate for contracts shall be agreed upon by the Contractors or otherwise have their contracts subject to termination.
“The FIRS, NNPCL and the Ministry of Works agreed that it is important there is synergy amongst agencies and organizations to enable the fulfillment of the mandate of each organization, agency, ministry and overall key into the mandate of the present administration of President Bola Tinubu,” the statement added.
