Again, officers threaten to close the seaport following the introduction of a 15% car tax
After two weeks of protests against the introduction of the vehicle identification number by customs officers, customs agents have again threatened to close the country’s seaport over the introduction of a 15% National Tax. Automatics Council (NAC).
The federal government had provided in the 2020 finance law for a reduction in the import levy on cars from 30% to 5%, while the import duty on tractors is to be reduced from 35% to 5% as well as reduction on imports. duty on public transport vehicles for the transport of more than ten people and trucks from 35 percent to 10 percent respectively.
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But auto industry stakeholders had warned in 2021 that the billions of naira invested in the domestic auto industry could become a waste business if the federal government goes ahead with its plan to cut vehicle tax. imported from 35% to 5%. without applying the same to completely knockdown and semi knockdown units (CKD and SKD).
Around 35 automobile assembly plants were licensed between 2014 and 2020.
Concerned about the Nigeria Customs Service’s decision to increase the government’s recommended 5% levy to 15% on all vehicle imports through ports, freight forwarders pledged on Monday to close the various Roll on Roll off (RoRo) ports in Lagos.
The group said the decision to close commercial activities in Lagos seaports was taken on Monday, April 11, 2022.
The Vice President of the Association of Nigerian Licensed Customs Officers (ANLCA), Dr Kayode Farinto, who ordered members not to pay the 15% NAC tax, described it as a policy of exploitation and attempted defrauding of innocent Nigerians.
“Let us collectively resist this; if you see a NAC levy every time you want to make your return, do not rate that return. This is another attempt to scam innocent Nigerians and force them to pay by a fifth columnist. Please resist from Monday,” he said.
Reacting to the threat, National Service Public Relations Officer Timi Bomodi said: “It is instructive to note that the national tax policy on the importation of motor vehicles and other items is aimed at developing the economy. locally in these areas. The NCS focuses on the implementation of these policies in the hope that it achieves the desired goals in accordance with the National Motor Policy and other government fiscal policies.