- He mentioned that the council has granted approval for the Nigeria-UAE double tax treaty to be sent to the National Assembly for ratification
Lateef Fagbemi, the Attorney-General of the Federation and Minister of Justice, announced that the federal government has approved a new taxation agreement with the United Arab Emirates (UAE) to eliminate double taxation.
Fagbemi shared this information with state house correspondents after the Federal Executive Council (FEC) meeting chaired by President Bola Tinubu at the Presidential Villa on Wednesday.
He mentioned that the council has granted approval for the Nigeria-UAE double tax treaty to be sent to the National Assembly for ratification. Fagbemi emphasized that once ratified, the treaty will enhance economic cooperation between Nigeria and the UAE by eliminating tax obstacles for businesses and investors.
“One of the major issues discussed was the issue of double taxation encouraging foreign direct investment. This time around, it’s about the relationship between Nigeria and the United Arab Emirates,” he said.
“You’ll recall that a while ago, the president was in the United Arab Emirates. One of the matters that came up for discussion and negotiation is the agreement for the elimination of double taxation with respect to taxes on income, and the prevention of tax evasion and avoid avoidance.
“The Council noted that the agreement between both countries, that is, between Nigeria and the United Arab Emirates includes personal income tax, company income tax, petroleum profit tax, information technology levy, tertiary education tax and capital gain tax.
“Because of the effect of this cooperation or the benefits that will accrue to Nigeria, the council agreed and directed that the agreement that had been signed already should be taken further by mandating authorising the Attorney-General and Minister of Justice to prepare a bill along this line to take to the National Assembly for ratification.”
Fagbemi said the reason for involving the national assembly in the agreement was to elevate it beyond a regular contract, making it a formal treaty between two sovereign nations.
According to the minister, the government intends to extend such treaty to other countries.
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