Reps Summon Total, Others over $85bn Tax
The House of Representatives ad hoc Committee on structure and accountability of Joint Venture (JV) Business and Production Sharing Contracts (PSCS) of Nigerian National Petroleum Company (NNPC) Ltd. has summoned Total Upstream over tax claims of 85 billion dollars.
Rep. Abubakar Fulata, the Chairman of the committee said this at an investigative hearing in Abuja on Tuesday. He said almost all the oil companies in Nigeria collected capital allowance and investment tax claims without a Certificate of Acceptance of Fixed Assets (CAFA) which constituted a breach of Nigeria’s extant laws.
CAFA is generally issued to evidence an approval for the purchase of assets valued at ₦500,000 and above. READ: Reps Summon PPPRA Boss over Unremitted Revenue
Fulata also summoned AGIP Energy Natural Resources Ltd, Shell Nigeria Exploration Company. Ltd. Chevron and other oil companies, saying that most of the companies were making claims of capital allowance from the government without the certificate.
He said companies found to be culpable would be compelled to make necessary refunds to the government coffers. According to him, all companies in Nigeria do not have the CAFA certificates and they are enjoying capital allowance amounting to millions of dollars.
” These are things they cannot do in their country but doing in Nigeria. Unless you clear the malfeasance of this allowance, the committee would be compelled by the relevant agency to recover this money,” he said. # Reps Summon Total, Others over $85bn Tax