• Thursday, March 28, 2024
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Revenue accrued from stamp duty to be shared by all tiers of governments – Adegbuyi

Bisi Adegbuyi, Post Master General of Nigerian Postal Agency (NIPOST) on Thursday assured Nigerians that effective implementation of Stamp Duties will unlock the huge revenue potential of the stamping protocol for the benefits of all the tiers of government.

Adegbuyi gave the assurance during the public hearing on the amendment of the Stamp Duties Act, Cap. S.89 LFN, 2004 held at the instance of the House Committee on Communication, chaired by Saheed Akinlabi, who expressed optimism that the initiative will “provide access to unbanked and under-banked rural communities as key to poverty alleviation.”

The Post Master General who was part of the drafting of the amendment of the Stamp Duties Act, expressed optimism that the proposed amendments will end the lingering inter-agency rivalry which is militating against the effective implementation f the stamping protocol.

While noting that the “all streams of revenue/income under the Act” have been captured, Adegbuyi observed that “since the last two decades, Nigerian economy and business landscape have evolved and affected tremendously by information technology.

“Thus, there is need to update the applicable provisions of this law so as to retain its relevance of purpose to the government and to Nigeria as a country under the contemporary situation.”

While clarifying some misgivings about the Stamp Duties, Adegbuyi explained that use of adhesive postage/electronic stamp to denote a document or receipt or registrable instrument does not amount to payment of a stamp duty tax.

“The Stamp Duties Act that prescribed taxes to be collected by the Federal Inland Revenue Service (FIRS) or IRS or the Customs Service also provides that the adhesive postage/electronic stamp be used to denote the receipt which is to be issued and shall be a postage stamp. So providing postage/electronic stamps does not amount to the ursurping of the function of any government agency.

He also allayed fears that the introduction of the Stamp Duties will impose undue financial hardships on the citizenry.

While speaking, Speaker Yakubu Dogara who was represented by Ado Doguwa, Majority Chief Whip, explained that the bill seeks to provide enabling environment for NIPOST and telecommunication industry, notice g that the world is shifting technologically, hence the need for NIPOST to align with global trend.

On his part, Saheed Akinade-Fijabi, chairman, House Committee on Communication explained that the two bills under consideration will give NIPOST the enabling environment to measure up with the advanced postal administration in the development of its infrastructure and human resources as well as attainment of financial autonomy to meet international best practices.

“The dwindling oil revenue and the current global recession have necessitates the need for Nigeria to diversify it’s economy especially for the present administration to achieve its change agenda. And NIPOST is believed to be one of such key agencies. Hence, they need to step up efforts to harnessing the potentials of the Stamp Duties Act, cannot be over-emphasised.

“It is hoped that with the passage of these bills, NIPOST will be well positioned for the realisation of the Federal Government financial inclusion programme which seeks to provide access to unbanked and under-banked rural communities as key to poverty alleviation,” Akinade-Fijabi said.

KEHINDE AKINTOLA, Abuja