{"id":325366,"date":"2024-05-31T07:58:53","date_gmt":"2024-05-31T06:58:53","guid":{"rendered":"https:\/\/www.withinnigeria.com\/news\/?p=325366"},"modified":"2024-05-31T07:58:53","modified_gmt":"2024-05-31T06:58:53","slug":"to-stabilise-economy-check-inflation-tax-reform-committee-asks-fg-to-peg-customs-import-duty-rate-at-n800","status":"publish","type":"post","link":"https:\/\/www.withinnigeria.com\/news\/2024\/05\/31\/to-stabilise-economy-check-inflation-tax-reform-committee-asks-fg-to-peg-customs-import-duty-rate-at-n800\/","title":{"rendered":"To stabilise economy, check inflation, tax reform committee asks FG to peg customs import duty rate at N800\/$"},"content":{"rendered":"<ul>\n<li><strong>He noted that the incessant changes in import duty occasioned by erratic FX makes it difficult for businesses to plan and grow<\/strong>.<\/li>\n<\/ul>\n<hr \/>\n<p>The presidential committee on fiscal policy and <a href=\"https:\/\/www.withinnigeria.com\/news\/2024\/05\/12\/shettima-assures-nigerians-of-benefits-from-tax-reforms\/\">tax reforms<\/a> has proposed an exchange rate of N800 per dollar for customs import duty, saying it will stem galloping inflation and place the economy on a strong footing.<\/p>\n<p>The committee asked the federal government to adopt the recommended rate, stressing that volatility of the foreign exchange (FX) market is hampering the economy.<\/p>\n<p>It noted that the incessant changes in import duty occasioned by erratic FX makes it difficult for businesses to plan and grow.<\/p>\n<p>Taiwo Oyedele, chairman of the committee, spoke on Thursday while engaging journalists on the activities of the tax panel in Lagos.<\/p>\n<p>\u201cWhen we did the budget, we said naira to dollar will be N800, now it is 1,000 something. People need to plan,\u201d he said.<\/p>\n<p>\u201cSo now, we\u2019re saying dear government can you please sign an order that says for the purpose of paying import duty, we shall use N800\u2026 for the rest of the year till December.<\/p>\n<p>\u201cSo, we have proposed N800.\u201d<\/p>\n<p>While presenting some recommendations of the committee, Oyedele said since the government used N800\/$ to plan the budget, it won&#8217;t take anything away from them if they use the same exchange rate for import duty collection.<\/p>\n<p>He asserted adopting the proposed import duty FX rate would stabilise the economy in terms of bringing down the price of importation which would also help with inflation.<\/p>\n<p>\u201cIt would also help with stability and planning. So, somebody who is opening an LC for something that will arrive in two months, he needs to take a loan from the bank,\u201d the tax expert said.<\/p>\n<p>\u201cYou know the amount they\u2019re charging you for the item, you need to worry about exchange rates for the goods.<\/p>\n<p>\u201cYou don\u2019t have to also worry about exchange rate for the import duty, even if he\u2019s not a permanent solution. Let\u2019s do this between now and December.<\/p>\n<p>\u201cWhen the economy stabilizes, the exchange rate itself would also stabilize and this will no longer be necessary, but in the meantime, we do think it\u2019s a good idea for governments to adopt.\u201d<\/p>\n<p>In recent times, the import duty rate has witnessed frequent and arbitrary adjustments by The Nigerian Customs Service (NCS).<\/p>\n<p>On May 27, the customs adjusted the FX rate for tariffs and duties to N1,480 per dollar.<\/p>\n<p>Customs typically adopt FX rates recommended by the Central Bank of Nigeria (CBN) for import duties based on trading activities in the official FX market.<\/p>\n<p>On May 16, Muda Yusuf, the director-general of the Centre for the Promotion of Private Enterprise (CPPE), said the customs should set a quarterly exchange rate between N800\/$ and N1000\/$ for import duties assessment.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>He noted that the incessant changes in import duty occasioned by erratic FX makes it difficult for businesses to plan and grow. The presidential committee on fiscal policy and tax reforms has proposed an exchange rate of N800 per dollar for customs import duty, saying it will stem galloping inflation and place the economy on [&hellip;]<\/p>\n","protected":false},"author":39,"featured_media":322085,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"jnews-multi-image_gallery":[],"jnews_single_post":{"source_name":"","source_url":"","via_name":"","via_url":"","override_template":"0","override":[{"template":"2","single_blog_custom":"211693","parallax":"1","fullscreen":"1","layout":"right-sidebar","sidebar":"default-sidebar","second_sidebar":"default-sidebar","sticky_sidebar":"1","share_position":"top","share_float_style":"share-monocrhome","show_share_counter":"1","show_view_counter":"0","show_featured":"1","show_post_meta":"1","show_post_author":"1","show_post_author_image":"1","show_post_date":"1","post_date_format":"default","post_date_format_custom":"Y\/m\/d","show_post_category":"1","show_post_reading_time":"1","post_reading_time_wpm":"300","show_zoom_button":"1","zoom_button_out_step":"2","zoom_button_in_step":"3","show_post_tag":"0","show_prev_next_post":"0","show_popup_post":"0","number_popup_post":"1","show_author_box":"0","show_post_related":"0","show_inline_post_related":"1"}],"override_image_size":"0","image_override":[{"single_post_thumbnail_size":"crop-500","single_post_gallery_size":"crop-500"}],"trending_post":"0","trending_post_position":"meta","trending_post_label":"Trending","sponsored_post":"0","sponsored_post_label":"Sponsored by","sponsored_post_name":"","sponsored_post_url":"","sponsored_post_logo_enable":"0","sponsored_post_logo":"","sponsored_post_desc":"","disable_ad":"0"},"jnews_primary_category":{"id":"","hide":""},"jnews_override_bookmark_settings":{"override_bookmark_button":"0","override_show_bookmark_button":"0"},"jnews_override_counter":{"override_view_counter":"0","view_counter_number":"0","override_share_counter":"0","share_counter_number":"0","override_like_counter":"0","like_counter_number":"0","override_dislike_counter":"0","dislike_counter_number":"0"},"footnotes":""},"categories":[2],"tags":[79772,3380,72160,79771],"class_list":["post-325366","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-national","tag-customs-import-duty-rate","tag-inflation","tag-taiwo-oyedele","tag-tax-reform"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.8 (Yoast SEO v27.8) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>To stabilise economy, check inflation, tax reform committee asks FG to peg customs import duty rate at N800\/$<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.withinnigeria.com\/news\/2024\/05\/31\/to-stabilise-economy-check-inflation-tax-reform-committee-asks-fg-to-peg-customs-import-duty-rate-at-n800\/\" \/>\n<meta property=\"og:locale\" content=\"en_GB\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"To stabilise economy, check inflation, tax reform committee asks FG to peg customs import duty rate at N800\/$\" \/>\n<meta property=\"og:description\" content=\"He noted that the incessant changes in import duty occasioned by erratic FX makes it difficult for businesses to plan and grow. 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