Chairman of the Joint Tax Board (JTB), Mr Muhammad Nami, on Monday, said the Federal Government will soon end taxes on tomatoes and other raw food items.
Nami stated this at the 153rd JTB meeting with the theme: “Harmonisation and codification of taxes at national and sub-national levels, the key to achieving tax-friendly environment in Nigeria” in Abuja.
He said ending taxation on the ”non-taxable item” was part of the proposed tax reforms of the President Bola Tinubu-led administration.
“For the informal sector, we do not want goods and services that are not taxable to be taxed.
“We will have an enumeration on the sector to ensure that those that are trading in goods like tomatoes and other raw food items are not made to pay taxes.
“Also, those that are not making up to N25 million will not be allowed to pay Company Tax or Value Added Tax (VAT),” the chairman said.
Nami, the Executive Chairman of the Federal Inland Revenue Service (FIRS), said President Tinubu is also determined to harmonise taxes and end multiple taxation in the country.
“We are lucky to have a new administration that has, from day one, indicated interest in eliminating multiple taxation.
“The implication is that what we call informal taxes, black taxes or whatever name it is called at the federal, state or local government levels, will be eliminated.
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“This is to encourage investment and to raise revenue generation.
“The move has become necessary because the irony is that the more taxes we have, the less revenue we generate,” he said.
The chairman noted that the harmonisation process would further reduce the number of taxes, block leakages, and boost revenue generation.
