CBNApex bank says salary accounts exempted from N50 stamp duty on transactions - Uju Ayalogu's Blog for News, Reviews, Articles and More

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Friday, 22 January 2016

CBNApex bank says salary accounts exempted from N50 stamp duty on transactions

CBNApex bank says salary accounts exempted from N50 stamp duty on transactions

CBN Governor, Godwin Emefiele

Mallam Ibrahim Mu’azu, CBN Director, Corporate Communications, made the clarification on Thursday in Abuja in a statement issued to newsmen.

Payments of salaries and wages as well as payments and deposits for self-to-self transactions whether inter or intra bank are exempted from the N50 stamp duty policy, the Central Bank of Nigeria (CBN) has said.

Mallam Ibrahim Mu’azu, CBN Director, Corporate Communications, made the clarification on Thursday in Abuja in a statement issued to newsmen.

The News Agency of Nigeria (NAN) recalls that the CBN recently introduced the policy which was contained in the Stamp Duty Act, 2004 and the Federal Government of Nigeria's Financial Regulation of 2009.

The policy is part measures to boost tax revenue for the federal government.

The statement said that charge was on all receipts issued by banks or financial institutions in acknowledgment of services rendered in respect of teller deposits and electronic transfers for a value of N1,000 and above.

"The implementation of the Stamp Duty at this point in time emanated from a Federal High Court order that the CBN should direct deposit money banks under its supervision to commence the collection of the duty on behalf of the federal government.

"Consequently, the money deposit banks have been directed to commence the collection of the duty.

"Banks are to collect the N50 stamp duty and remit same to the Nigerian Postal Services (NIPOST) on behalf of the customer.

"The N50 stamp duty is charged per transaction and NOT per volume. Hence, irrespective of the amount, the sum of N50 is to be charged provided such a transaction is N1,000 and above.

"There are however some exemptions and these include payments of salaries and wages, payments and deposits for self-to-self transactions whether inter or intra bank among others,’’ the statement said.

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