The Executive Chairman of the Federal Inland Revenue Service (FIRS), Mr. Muhammad Nami, has described the Federal Government’s Road Infrastructure Development and Refurbishment Investment Tax Credit Scheme as one of its greatest innovations. Speaking at the Senate Stakeholder and Public Hearing on the 2023 Medium-Term Expenditure Framework (MTEF) and Fiscal Paper, on Tuesday, 13th September 2022 at the Senate Chambers, Mr. Nami expressed delight at how companies such as the Nigerian National Petroleum Corporation (NNPC), are investing proactively in road construction projects.
Mr. Nami noted that many road construction projects, which would have taken dozens of years to complete due to insufficiency of funding, are now being undertaken by various companies. His views were corroborated by the Minister for Finance, Budget and National Planning, Zainab Ahmed. She confirmed that many companies have shown interest in the tax credit scheme and have begun construction projects, while some were currently sorting out the requisite documentation to embark on the projects.
The Road Infrastructure Development and Refurbishment Investment Tax Credit Scheme is a ten-year public-private partnership scheme signed on 25th January 2019 by President Buhari as Executive Order 007. Participants embark on road construction or refurbishment projects in return for tax credit claims from their payable Companies Income Tax (CIT).