A/Ibom Woos Businesses With Tax Holiday, Eyes World Bank’s Grant

Related stories

As the US, UAE Close its Doors, FG Pledges Diplomatic Resolution

Retired Envoys: Without Ambassadors, Nothing 'll change By Abiola...

What NATO Countries Spend on Military, Health, and Education

Key Takeaways Currently, every NATO member spends less on their military...

Nigeria: Flying Blind In The Global Space

By Owei Lakemfa The United States, US, government of...

Is the world shutting its door on Nigeria?, By Dakuku Peterside

Visa restrictions are more than bureaucratic hurdles. They are...

[VIDEO] End of an Era!Tears as Buhari is Laid to Rest in Daura

https://m.youtube.com/watch?v=yElAG5mJUbA&pp=ygUYUHJlc2lkZW50IGJ1aGFyaSBidXJpZWQg By Abiola Olawale In a solemn moment, Nigeria has bid...

By Akanimo Kufre (The New Diplomat’s A/Ibom|C/River Correspondent)

Tax payers in Akwa Ibom State will soon ease a sigh of relief as the state government is set to roll out tax incentives’ plan to woo businesses to the South-South state.

This was announced by the state government as part of measures to cushion the effect of the Covid -19 crisis.

The tax waiver was part of the resolutions reached last Friday at the State Executive Council meeting presided over by Governor Udom Emmanuel in Uyo with modalities to be simplified by the ministry of finance.

According to the Commissioner for Information in Akwa-Ibom, Mr. Charles Udoh, the decision was in line with the World Bank requirements for giving out grants and support to states.

“Major decisions taken today include the approval to commence a process of working out modalities for implementation of tax relief to tax payers in Akwa Ibom State for 2020 tax year. This is in consideration of the adverse effect of Covid-19 pandemic and in line with the requirement of World Bank for grants and supportive to state governments,” Udoh said.

Tax holidays are statutory incentive given to businesses by governments to attract local and foreign investments or to develop a certain area of patronage.

However, a business development finance expert, Mr. Desmond Ushie says beyond grant criteria, tax incentives or subsidy, detailed safety-net measures should be rolled out to help businesses rebound following the Covid-19 impact.

“Tax holidays is temporary elimination of taxes or reductions in businesses especially those on sales. Because of COVID 19 most businesses were not productive as such the tax holiday by the state will boost the capital of business owners and as such help business profitability, expansion and meeting set goals like employment. These should be the objective of the state government ministry,” Ushie said.

The New Diplomat recalls Akwa Ibom State failed to secure 2019 World Bank grant announced in April 2020 due to political scuffle between the state’s executive arm and the leadership of the state’s House of Assembly as the state narrowly missed out partaking in the World Bank assisted N43.416 billion States Fiscal Transparency Accountability and Sustainable Program (SFTAS).

“The unprecedented crisis will require an unprecedented response from the entire Nigerian public sector, in collaboration with the private sector, to contain the outbreak, save lives, and protect livelihoods of the poor and vulnerable,” said Marco Hernandez, World Bank Lead Economist for Nigeria.

'Dotun Akintomide
'Dotun Akintomide
'Dotun Akintomide's journalism works intersect business, environment, politics and developmental issues. Among a number of local and international publications, his work has appeared in the New York Times. He's a winner of the National Youth Service Corps (NYSC) Award. Currently, the Online Editor at The New Diplomat, Akintomide has produced reports that uniquely spoke to Nigeria's experience on Climate Change issues. When Akintomide is not writing, volunteering or working on a media project, you can find him seeing beautiful sites like the sandy beaches that bedecked the Lagos coastline.

Subscribe

- Never miss a story with notifications

- Gain full access to our premium content

- Browse free from up to 5 devices at once

Latest stories

NDN
Latest News
As the US, UAE Close its Doors, FG Pledges Diplomatic ResolutionWhat NATO Countries Spend on Military, Health, and EducationNigeria: Flying Blind In The Global SpaceIs the world shutting its door on Nigeria?, By Dakuku Peterside[VIDEO] End of an Era!Tears as Buhari is Laid to Rest in DauraEnd of an Era: Massive Security Presence in Katsina as Nigerians Prepare for Buhari’s FarewellFemi Adesina Counters Critics, Says Buhari Would 've Died Before Now if He Used local HospitalsTribute To The Late Former President, Muhammadu Buhari GCFR[PHOTOS]Buhari: Tinubu Arrives Katsina for State BurialBreaking! Buhari’s Remains Arrive in Nigeria as Political Elites Gather in Daura for BurialEnd of an Era!Buhari's Remains depart London for Nigeria for Full State BurialOba Adetona's Burial: Fierce Race for Next Awujale of Ijebuland CommencesBuhari had no property in the UK, says Femi AdesinaBuhari: FG declares Tuesday as Public Holiday Details as FG Declares Tuesday a Public Holiday to Honor Buhari
X whatsapp