Nigeria loses $2.9 billion annually to
corporate tax waivers, the ActionAid Nigeria (AAN) has said.
The country director of AAN, Ms. Ojobo Ode
Atuluku, who disclosed this yesterday in Abuja, said Ghana and Senegal also
lose $2.7 and $0.2bn respectively annually to tax waivers bring the loss of the
three countries to $5.8bn annually.
She was speaking at the West African Summit
on Tax Treaties organised by ActionAid themed, ‘A Common Treaty Protocol:
Cutting the Giveaways’.
Mrs Atuluku also stated that Nigeria lost
over $3.3bn in 10 years to tax incentives under the Nigerian Liquefied Natural
Gas (NLNG) Act.
She urged the labour, civil society
organisations civil servants and other stakeholders to rise as a movement to
end the extravagant waivers that characterise treaties that African countries
have signed.
She said studies by her organisation and
other development agencies showed that there is need to take more than a
cursory look at the treaties which have become major sources of revenue loss
for African countries.
She said the nature of the double taxation
agreements with advanced economies has become avenue through which
multinationals, large national corporations and high net worth individuals deny
the nations huge tax funds which could have propelled sound education, good
health care and social infrastructures.
“We call on ECOWAS System to take the lead in
agreeing on a common protocol on tax treaties in West Africa, especially on
double taxation treaties,” she said.
Atuluku listed 13 countries which Nigeria’s
tax treaties are in force, with none in the interest of Nigeria, adding that
three other countries -Kuwait (2011), Mauritius (2012) and Sweden (2004) - have
had their tax treaties signed and awaiting ratification.
The 13 countries are Belgium, Canada, China,
Czech Republic, France, Netherlands, Pakistan, Philippines, Romania, Slovakia,
South Africa, Spain and United Kingdom.
The president, Chartered Institute of
Taxation in Nigeria (CITN), Dr Teju Somorin, while commending ActionAid for
organising the summit, called for more enlightenment especially on the social
aspect of taxation.
Daily Trust
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