CBN directs DMBs to charge N50per transactions in accordance with provisions of the Stamp Duties Act

Proshare

Tuesday, January 19, 2015 11.40AM/CBN

As part of its efforts to boost its revenue base, the Federal Government of Nigeria is exploring revenue opportunities in the non-oil sectors especially taxes and rates.

It is in recognition of this fact that Banks and other financial institutions are enjoined to support Governments’ revenue generation drive through compliance with the provisions of the Stamp Duties Act, LFN 2004 as reinforced by the court judgement in Suit No FHC/L/CS/1710/2013.

In this regard, the CBN pursuant to the provisions of is enabling laws, hereby issues this circular to all DMBs’ and other financial intuitions.

1.       With immediate effect, all DMBs and other financial intuitions shall commence the charging of N50 per eligible transactions in accordance with provisions of the Stamp Duties Act and Federal Government Financial Regulations 2009, that is, all receipts given by any bank or other financial institution in acknowledgement of service rendered in respect of electronica transfer and teller deposits from N1, 000 and above.

2.      For the avoidance of doubt the following receipts are however exempted from imposition of Stamp Duties:


a.      Payments deposit or transfer by self to self-weather inter or intra bank: and

b.      Any form of withdrawal/ transfers from saving accounts.

 

3.      It should be noted that these charges are only payable by receiving accounts.

4.      Each DMB shall open an account designated as NIPOST Stamp Duties Account into which all charges collected shall be paid

The balances in such account shall be transferred monthly by DMBs to CBN NIPOST Stamp Duty Collection Account No.3000047517.

 
5.      Other Financial Institution shall remit their Stamp Duty collections to any DMB of their choice.


Please be guided accordingly and ensure strict compliance. 

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