Double Taxation: FIRS In Negotiation With China, Russia, Saudi Arabia, Signs Pact With 16 Others
The Federal Inland Revenue Service (FIRS) said it had begun negotiations with notable countries across the world, as part of the efforts to curb the menace of double taxation and to further facilitate international trade and Investment between Nigeria and the rest of the world.
Some of the country according to FIRS are; Hong Kong, Saudi Arabia, Cyprus, Iran, Germany, Switzerland, India, Botswana, Japan, Greece, New Jersey and Russia among others.
The Federal Inland Revenue Service had also collaborated with the Federal Ministry of Finance, Budget & National Planning engaged in bilateral/ multilateral agreements.
This was made known in a paper where the laudable Achievements of the Executive Chairman, Federal Inland Revenue Service (FIRS), Alhaji Muhammad Mamman Nami within the space of two years, a copy which was made available to CityMirrorNews, in Abuja.
According to the statement, “In 2020, FIRS concluded the negotiation of the Avoidance of Double Taxation Agreements with Turkey.
“Negotiations are also at different stages with the following countries: Hong Kong, Saudi Arabia, Cyprus, Iran, Germany, Switzerland, India, Botswana, Japan, Greece, New Jersey and Russia. These will be concluded as soon as the few outstanding issues have been resolved.
“In the year under review, Nigeria has an active ADTA agreement with 16 countries, namely: South Korea, Spain, Sweden, Singapore, France, Mauritius, UAE, Qatar, Kenya, Morocco, Ghana, Cameroon, Turkey, Sudan, Gambia and Denmark.”
“Also, it is said the Management of the Service continues to focus on transfer pricing and has, by way of follow up to the introduction of the Income Tax (Transfer Pricing) Regulations 2018, issued Demand Notes totaling 1.074 billion naira on 222 companies for failing to file their transfer pricing returns in line with the requirements of the Regulations.
“Currently, the Service is involved in several audits that have the potential for substantial revenue yield resulting from adjustments and additional assessments.
“The Service also maintained its relationship with ATAF, WATAF, CATA and the OECD and organised a WATAF workshop on Risk Management in Bamako, Mali in June 2020.