Finance Act 2020 and its impact on employment tax

Finance Act 2020 and its impact on employment tax

The Finance Act, 2020 amends portions of various extant tax provisions, including that of the Personal Income Tax Act (PITA). In this article, we have highlighted some of the major changes to PITA and how these impact payroll taxes with effect from 1 January 2021.

The Anonymous 360-Degree Whistleblower

The Anonymous 360-Degree Whistleblower

Most whistleblowers find themselves on the firing line for turning the spotlight on unethical practices, especially when their identity is given away by the recipients of their reports. Consumed with the fear of victimization and job loss, an employee who could have blown the whistle on an unethical practice may decide to turn a blind eye to such misconduct.

Deadline for filing the 2020 Individual Income Tax Returns (Form A)

Deadline for filing the 2020 Individual Income Tax Returns (Form A)

In accordance with Section 41 of the Personal Income Tax Act (PITA) (as amended), all taxable persons are required to file a return of claims and income from every source (earned and unearned income) for the year preceding the year of assessment, with the relevant tax authority (RTA).

Industrial Training Fund Compliance

2020 Industrial Training Fund Compliance

The Industrial Training Fund (ITF) Act governs the ITF scheme. The Scheme was set up to provide, promote and encourage the acquisition of skills in the industry and commerce.

LIRS extends deadline for filing of annual employers tax returns (Form H1) to 14 February 2021

The Lagos State Internal Revenue Service (LIRS) has issued a Public Notice informing taxpayers of an extension to the deadline for filing the 2020 Employers’ Tax Returns (Form H1). The deadline was extended by two (2) weeks from 31 January 2021 to 14 February 2021.

Deadline for filing of annual employers tax returns (Form H1)

Deadline for filing of annual employers tax returns (Form H1)

The 2020 Employer Tax Returns (Form H1) are due for filing by 31 January 2021. The Personal Income Tax Act (PITA) Cap P8 LFN 2004 (as amended to date), requires every employer to submit Tax Returns (Form H1) with the relevant State Tax Authorities where its employees are tax resident.

Submission of Annual Year-End (31/12/2020) Network/Subscriber Information

Submission of Annual Year-End (31/12/2020) Network/Subscriber Information

The 2020 Annual Year-End Network/Subscriber information returns are due for submission to the Nigerian Communications Commission (NCC) on 15 January 2021

Finance Act 2020: Key changes and implications

President Muhammed Buhari, on 31 December 2020, signed the Finance Act 2020 (“the Act”) alongside the 2021 Appropriation Act into law. This reaffirms the Federal Government of Nigeria’s commitment to enact fiscal policy annually, alongside the passage of the annual budget into law (i.e. enactment of Appropriation Act) and aligns with global best practice.

AfCFTA: The dawn of a new era

The African Continental Free Trade Area: The dawn of a new era

After years of planning, campaigning and negotiating, the time has come for execution. Trading under the agreement establishing the African Continental Free Trade Area (“AfCFTA” or “the Agreement”) has officially commenced.

In what started years ago as a bold and, an unrealistic aspiration, the AfCFTA has morphed into a striking reality. Africa has created a working fifty-four member state1 free trade agreement, the largest since the creation of the one hundred and sixty-four member state World Trade Organisation.

President Buhari signs Nigeria’s 2021 Budget into law

President Buhari signs Nigeria’s 2021 Appropriation Bill (Budget) into law

President Muhammadu Buhari signed the 2021 Appropriation Bill (i.e. the Budget) of the Federal Government of Nigeria (FGN) into law today, Thursday, 31 December 2020. The revised budgeted expenditure is ₦13.59 trillion, 4% (₦505billion) higher than the ₦13.08 trillion budgeted expenditure which the President presented to the National Assembly (NASS) in October 2020.