In Nigeria, billionaires and large corporations often face hefty tax bills. These taxes can run into billions of naira. The Nigerian Tax Credit Scheme allows companies to build public infrastructure like roads and get tax credits in return. This means they can reduce their tax bills by the amount they spent on these projects.
So, how does it work? Companies can invest in public infrastructure instead of paying all their taxes in cash. The government then gives them tax credits equivalent to their investment. It’s a win-win!
Who benefits? everyone! The government saves on infrastructure costs, companies get tax relief, and the public enjoys better roads and facilities.
Aliko Dangote, alongside the Minister of Works, David Umahi, inaugurated the notorious Apapa-Oworonshoki-Ojota Expressway. Using their tax credits, Dangote Group helped reconstruct this major road, significantly improving transportation and boosting economic activities in Lagos. This shows how the Tax Credit Scheme turns tax money into tangible infrastructure benefits! 🚛🌍
Another one is BUA Group Founder and Chairman Abdul Samad Rabiu. Recently, they took on the reconstruction of the Okpella section of the Lokoja-Benin road under the tax credit scheme. This project, costing N120 billion, addresses crucial infrastructure needs, like fixing roads that were previously dangerous and difficult to navigate. By investing their tax credits, BUA Cement is transforming essential transport routes, demonstrating how the scheme channels corporate taxes into public benefits! 🚜🌉
The Tax Credit Scheme encourages private investment in public infrastructure, leading to faster development and better maintenance of essential services and it is a smart way to leverage private resources for public good.
What do you think about the Tax Credit Scheme? Share your thoughts in the comments! 👇
