Connect with us

Business

MultiChoice agrees to pay N35bn pending tax to FIRS

Published

on

MultiChoice Group has agreed to pay N35.4 billion as part of its tax obligations to the Federal Inland Revenue Service (FIRS).

 

Multichoice owns the satellite television services, DStv and GOtv — popular subscription-based platforms in Nigeria.

 

In a statement to shareholders on Thursday, the firm said the payment is to offset against “security deposits”.

 

“Shareholders are advised that MultiChoice has reached a settlement with the FIRS in Nigeria in relation to the tax assessments raised in April 2021 on MultiChoice Nigeria (MCN) and in June 2021 on MultiChoice Africa Holdings BV (MAH),” the company said.

 

“The parties (FIRS, MCN and MAH) concluded a ‘without prejudice or precedent’ agreement in full and final settlement of all matters in dispute. In terms of the agreement, MCN and MAH shall pay a total tax amount of NGN35.4bn (~US$37.3m), to be offset against the security deposits and good faith payments made to date.”

READ  Ex-FIRS officials re-arraigned over N4bn duty tours not undertaken

 

In 2021, FIRS issued notices of assessment and demand notices in the sum of N1.82 trillion as tax bills.

 

The agency appointed some commercial banks as agents to recover the amount.

 

But MultiChoice disputed the assessments and approached the tax appeal tribunal (TAT), which led to a series of cases at both the TAT and the federal high court.

 

Multichoice further instituted a court action on August  25, 2021, challenging the assessment of FIRS over unpaid value-added tax (VAT) amounting to $342 million. 

 

Seven months after the challenge, FIRS and MultiChoice Nigeria agreed to an amicable resolution over pending tax disputes.

 

As part of the agreements, MultiChoice was to withdraw all pending lawsuits, while FIRS was to conduct a forensic system of the company’s accounts.

 

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Business

Suspicious inflows: $26bn from unknown sources passed through Binance Nigeria in one year, says Cardoso

Published

on

By

 

The governor of the Central Bank of Nigeria (CBN), Olayemi Cardoso, has said that $26 billion passed through Binance Nigeria from unidentified sources in one year.

 

Cardoso disclosed this to journalists on Tuesday after the committee’s meeting at the CBN headquarters in Abuja.

 

In June 2023, the Securities and Exchange Commission (SEC) had said the operation of Binance Nigeria Limited, a subsidiary of Binance, was illegal.

 

Cardoso’s comments come amid recent media reports of a clampdown on crypto exchanges — including Binance — by the Federal Government. 

 

Bayo Onanuga, the special adviser to President Bola Tinubu on information and strategy, had posted some of the reports on X on February 24, 2024 — an act that could be seen as a confirmation of the development.

 

Prior to this, Onanuga had called for a ban on Binance and other crypto platforms operating in Nigeria to curb foreign exchange (FX) rate distortions.

 

READ  Court bars Fed Govt’s from collecting VAT, Income Tax

Speaking on the matter, Cardoso said the apex bank is collaborating with the SEC to ensure there is no manipulation in the FX market.

“We are concerned that certain practices go on that indicate illicit flows going through a number of these entities, suspicious flows at best,” the CBN governor said.

 

“In the case of Binance, in the last one year alone, $26bn has passed through Nigeria from sources/users who we cannot adequately identify.

 

“There’s a lot that is going on now as a result of collaboration between the different agencies which includes EFCC, the police, and of course, the office of the NSA.

 

“And in due course, as we progress and have more information to share, we will certainly share.

 

“But suffice to say that we are determined to do everything it takes to ensure that we take charge of our market or put it differently to not allow others to manipulate our markets in a way that ends us distortionary and sub-optimises for all Nigerians.”

 

READ  Police seize drugs worth $675m hidden in marble stone slabs

He added that the apex bank will ensure that this “type of infraction” does not take place.

 

On February 20, 2024, the CBN and the Office of the National Security Adviser (ONSA) announced a partnership to investigate and penalise those involved in illicit activities within the FX market

 

 

Continue Reading

Business

Sellers of FX above $10,000 must declare source to BDCs – CBN

Published

on

By

 

As part of the strategies to save the economy, the Central Bank of Nigeria (CBN) says sellers of foreign exchange (FX) of $10,000 and above to Bureau De Change (BDC) operators must declare the source of the forex.

 

The apex bank made this known on Friday in a document titled ‘Revised Regulatory and Supervisory Guidelines for Bureau De Change Operations in Nigeria’.

 

CBN also mandated the sellers to “comply with all AML/CFT/CPF regulations and foreign exchange laws and regulations”.

 

Also, the CBN said customers can move foreign currencies from their domiciliary accounts with Nigerian banks to BDCs.

 

“All digital/transfer purchases of foreign currencies shall be credited to the BDC’s Nigerian domiciliary account,” CBN said.

“Payments for all digital/transfer purchases of foreign currency by a BDC shall be by transfer to the customer’s Naira account. If the customer is non-resident (whether Nigerian or not), a BDC may issue the customer a prepaid NGN card.”

READ  Amotekun rescues two toddlers, nine others from kidnappers in Osun

The financial regulator said BDCs can source foreign currencies from tourists, returnees from the diaspora, and expatriates with foreign exchange inflows from work, travel, investment or their domiciliary accounts.

 

Other allowable sources mentioned by CBN are residents with foreign exchange inflows from work, travel, investment or their domiciliary accounts, and International Money Transfer Operators (IMTOs).

 

CBN also listed embassies, hotels that are authorised buyers of foreign currencies, the Nigerian foreign exchange market (NFEM), as well as any other source that the apex bank may specify.

Continue Reading

Business

FG stops gas exports to crash price, end scarcity

Published

on

By

COOKING GAS

 

As part of the general efforts to end the scarcity of gas in the country, the Federal Government has announced the suspension of liquefied petroleum gas (LPG) exports.

 

Ekperikpe Ekpo, minister of state for petroleum resources (gas) made this known on Thursday during an “Internal Stakeholders’ Workshop” in Abuja.

 

He said the action is part of a deliberate attempt to increase the availability of LPG in the domestic market and lessen the financial strain on customers due to the hike in the price of the commodity.

 

“We are interacting with critical stakeholders to ensure that there is no exportation of LPG. All LPG produced within the country will have to be domesticated. When this is done, the volume will increase and of course, the price will automatically crash,” he said.

 

“I am in contact with the regulation, NMDPRA, we hold meetings almost on a daily basis, and the producers such as Mobil, Chevron, and Shell. So, there is that hope that things will turn around. We don’t need to make noise about it.”

READ  When old men fight: 'Answer a fool less he thinks he is wise', Adebanjo fires back at Akande over claim Tinubu built Lekki home

 

The minister underlined the need for banning the export of domestically manufactured LPG, saying the entire production will be utilised within the country.

 

He said the expected increase in the volume available for the domestic market and price reductions would bring relief to customers struggling with the high cost of cooking gas.

 

The development comes amid a rise in the price of the product.

 

According to the National Bureau of Statistics (NBS), the average retail price for refilling a 12.5kg cylinder of LPG increased by 0.28 percent on a month-on-month basis from N10,248.97 in December 2022 to N10,277.17 in January 2023.

 

The Transmission Company of Nigeria (TCN), on January 25, 2024, had attributed the gradual decrease in power supply to gas shortage.

Continue Reading

Trending News