Aug 16, 2019

Widening the Tax Bracket : Role of Lawyers.

It is no secret that the Nigerian government is seeking to utilize tax paid by citizens in advancing the country due to the fact that all citizens are liable to pay the tax.

Furthermore, in this process, obligation falls to the Lawyer as well – the duty of a legal practitioner to tax payment can initially be captured by his role as a Nigerian.  According to S.24 (f) of the constitution and Section 41(5) of the personnel income tax 1993, which confers more specific duty on all Legal Practitioners to take the returns of the income and claims for reliefs and allowances relating to their income and claims for reliefs and allowances relating to the preceding year within 90 days from the beginning of the every year. Such lawyer is to obtain and complete the required forms from the government designated banks and makes payment in line with the minimum tax payable for his category.

Furthermore, law firms have an obligation, subject to section 80 of PITA to deduct appointment tax from the total emoluments of employees and remit same to the relevant tax authority on or before the 10th day of the following month.

In addition to the above, firms also have an advisory duty to clients to submit for assessments, transactions on sale of assets that attract capital gains tax and issues of stamp duties. All these and much more would be discussed at the Annual General Conference of the NBA coming up on between the 23rd and 29th of August, 2019.

It is important that lawyers are on hand to join the discuss and participate. The issues of double taxation of companies will also be examined at the breakout session and it is important that all lawyers participate.

See you at the AGC.