Nigeria seeks to boost revenue, support small firms with new finance law

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Nigeria seeks to boost revenue, support small firms with new finance law
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Nigerian President Muhammadu Buhari has signed into law a new bill that seeks to...

LAGOS - Nigerian President Muhammadu Buhari has signed into law a new bill that seeks to boost government revenue through a rise in the value-added tax rate while at the same time supporting small businesses in Africa’s biggest economy.

But raising more money from taxes has proved difficult in a country where most small businesses are not registered. The government has repeatedly said it wants to boost non-oil revenue since oil sales make up 90% of foreign-exchange receipts. Under the new law, the government will introduce a graduated tax scale for small businesses, with firms that generate less than 25 million naira in annual turnover exempt from corporate tax.

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