Senate passes Finance Bill 2021

22 Dec Senate passes Finance Bill 2021

The Senate at plenary yesterday passed the Finance Bill 2021 which was transmitted to the National Assembly by President Muhammadu Buhari, on December 7, 2021.

It also approved a request by President Buhari to extend the 2021 budget implementation year from December 2021 to March 2022.

The passage of the Finance bill was after the consideration of a report by the Joint Committee on Finance, Customs, Excise and Tariff, Trade and Investment.

Presenting the report, Chairman of the Joint Committee, Senator Solomon Olamilekan Adeola, said the bill seeks to support the implementation of the 2022 Federal Budget of Economic Growth and Sustainability by proposing key specific taxation, customs, excise, fiscal and other relevant laws.

According to him, a total of 12 Acts were amended under the finance bill which contains 39 clauses.

He added that the bill seeks to promote fiscal equity, align domestic tax laws with global best practice, introduce tax incentives for infrastructure and capital markets, support small businesses and promote increase government revenue.

He said: “The Finance Act 2020 was predicated essentially on having no new taxes and no new incentives due to the COVID -19’s impact on the economy as such it was structured across four broad thematic areas; Enacting counter cyclical measures and crisis intervention initiatives; Tax, fiscal responsibility, and public procurement reforms; Reforming fiscal incentives policies for job creation; Ensuring closer coordination of monetary, trade and fiscal policies; and Enhancing tax administration.”