The Federal Executive Council has given approval for the strengthening of tax laws of the country, to prevent tax evasion by multi-national companies doing business in the country and the establishment of sea port in Badagry in Lagos state.
Minister of Information and Culture, Alhaji Lai Mohammed, disclosed this while briefing State House Correspondents after the meeting of the Federal Executive Council, which was presided over by President Muhammadu Buhari.
He noted that the move was necessary because Nigeria has a lot to offer the world in the area of doing business in different spheres.
He said the go ahead was given for the country’s tax laws to be strengthened, to aid government’s fight against corruption and prevent multinational companies operating in the country form evading tax as well as aid government’s fight against corruption.
“Approval was given for the Multi-lateral Competent Authority Agreement on the exchange of country by country reports. The whole essence is to give the government a better grip on its tax laws and also to be able to prevent tax evasions by multinational companies,” he said.
He said developing companies discovered that multinational companies operating within such countries have evaded tax worth trillions of dollars so they went into agreement to a Multi-lateral Authority Agreement, to address the problem.
On how the law will now operate in Nigeria, the Minister explained that: “This is a law that provides that if a company is operating in Nigeria, not only must it file returns on its activities in Nigeria, it must all file report on its activities in every other country where it’s doing business so that you can see whether there is any attempt to hide figures or not. I think apart from shoring up our finances, the law is part of the fight against corruption and it also enhances our transparency.”
New Sea Port
He said approval was also given for the establishment of a new sea port in Badagry in Lagos State.
“An approval was also given for the outline of business scales for the development of the green field port facilities at Badagry. In lay man’s language, this is basically the first step to approving the establishment of a new sea port in Badagry area,” he said.
The information Minister said this shows that despite all the challenges Nigeria is facing, it is still a very preferred investment destination in the world.
Alhaji Mohammed added that “It also showcases that the Nigerian government is very focused on infrastructural development.”