PMB Signs Executive Order No.8 Mandating Nigerians With Foreign Assets To Pay Tax


Thursday, October 11, 2018   05:19AM  / Presidency


President Muhammadu Buhari has signed an executive order mandating Nigerian taxpayers to declare and pay tax on their offshore assets.


Garba Shehu, presidential spokesman, announced this in a statement on Wednesday.


According to the statement, asset owners have a 12-month window grace to declare and pay tax on their assets, under the new executive order number eight, tagged Voluntary Offshore Assets Regularization Scheme (VOARS).


Garba Shehu said the order took effect from October 8, when the president signed it.


According to the order, “any taxpayer who truthfully and voluntarily complies with the conditions of the scheme, pays a one-time levy of 35 percent on the total offshore assets or pays all outstanding taxes, penalties and interest after forensic audit of their offshore assets and income shall obtain immunity from prosecution for tax offenses and offences related to offshore assets, among others.


“Equally, failure of any defaulting taxpayer to take advantage of this scheme shall, at the expiration of the scheme result in investigation and enforcement procedures concerning offshore assets anywhere in the world pursuant to information now readily available through automatic exchange of information between Nigeria and foreign countries.”


The statement read:


By this order, Nigerian taxpayers who hold offshore assets and incomes are expected to, within a period of 12 months, declare voluntary those assets and pay taxes on them. When they do this, they should expect to derive certain specified benefits.


In accordance with the new order, the Federal Government, through the office of the Attorney-General of the Federation and Minister of Justice will set up a VOARS in Switzerland for all categories of taxpayers who have defaulted in the declaration of their offshore assets, payment of taxes due and collectible subject to the fulfillment of the terms and conditions as stipulated in the order, or any other subsequent complementary regulations that follow.


To avoid the abuse of this process, the Federal Government makes clear that the “scheme is open to all persons, entities, and their intermediaries holding offshore assets and are in default of their tax obligations in any way, including those who are not already under investigation by law enforcement agencies in Nigeria or any other country and have not been charged with any crimes including theft of public funds or obtaining offshore assets through corrupt practices.”


Proshare Nigeria Pvt. Ltd.


“In signing the order, President Buhari noted that under the Nigerian law, every citizen has the duty to declare his or her income and assets and pay taxes on them but regretted that this, in most instances, had not been the case.


“The sad reality is that efforts to recover these taxes from defaulters through litigation are often frustrated by the complications caused by the change in the character and nature of such assets, insufficient financial intelligence, long delays in courts, among several other reasons.


“President Buhari is optimistic that the new scheme will help to facilitate the expedient regularization of offshore assets connected to Nigeria and lead to “a new expanded tax base for the Federal Government, and also fund the Nigeria Infrastructure Fund in Switzerland.”



Previous Executive Orders

1.       VIDEO: Discourse on Recent Executive Orders by the Nigerian ... - Proshare

2.      Executive Order No. 6 On Preservation Of Suspicious Assets And Related Schedules  Jul 08, 2018

3.      FG to Remove VAT on Residential Properties, Amends Company Income Tax Law June 7, 2018

4.      Presidential Executive Order No. 5 to improve local content in public procurement with science, engineering and technology components.... Feb 02, 2018

5.      Executive Orders: Key Enablers for Driving Execution & Impact July 10, 2017

6.      Osinbajo Signs 3 Executive Orders - Ease of Business, Budget Submissions & Made In Nigeria Products May 19, 2017



Proshare Nigeria Pvt. Ltd.



Related News

1.       EBO Launched; Identifies 10 Areas For Private Sector and Govt Collaboration

2.      CAC Reduces Cost of Business Name Registration to N5,000 for 90 Days

3.      The Nigerian Business Ecosystem: Emerging Trends, Investment Opportunities, and Regulatory Reform

4.      Business Confidence Index Declines in July 2018; Indicates Less Optimism On The Economy

5.      2018 Making Business Work Report In Nigeria – The Journey So Far

6.      ACIOE Associates Publishes Guide to Doing Business in Nigeria

7.      8th Presidential Quarterly Business Forum: 4 Takeaways

8.     Nigeria Automates Processing Of Business Permits And Expatriate Quota

9.      North Trend for February 2018 Business Confidence Index

10.  Time To Focus On How States Are Governed

11.   Improving Nigeria’s Business Operating Environment to Enhance Economic Growth

12.  The 3rd National Action Plan on Ease of Doing Business to kick off February 5th

13.  The Anxious Optimist in the Corner Office - PwC’s 21st CEO Survey

14.  The New Import and Export Guidelines: Any Respite for the Trader?

15.   A World Bank economist apologized for unfair country rankings and will redo four years of results

16.  Signposts on the Road to a New Business Environment

17.   How important is the Ease of Doing Business to Nigeria?

18.  The latest Business Competitiveness Ranking: How close is Nigeria to the Promised Land?

19.  Nigeria gains Momentum on Ease of Doing Business


Related News