The total number of local and foreign companies exempted from remitting tax revenue to government coffers increased to 105 as of December 2024, The PUNCH reports. Dangote Fertilisers, Mikano International Limited, and 103 others are included in this list.
This came amid uncertainties over the programme’s effectiveness and the government’s announced plan to discontinue the policy as part of a broader strategy to boost its dwindling revenue base.
The Federal Government, through the Nigerian Investment Promotion Commission, approved tax holidays for 22 new companies under the Pioneer Status Incentive scheme, raising the total number of beneficiaries to 105 in the final quarter of the year.
This comes after the number of participating firms rose to 104 in the first quarter, declined to 88 in the second quarter, and dropped to 83 in the third quarter.
This was disclosed in the latest Pioneer Status Incentive reports released by the Nigerian Investment Promotion Commission and obtained by our correspondent on Wednesday.
Findings by The PUNCH also revealed that since the Chairman of the Presidential Tax Reform Committee, Taiwo Oyedele, announced in September 2023 that the committee would conduct a comprehensive review of tax waivers, aligned with the roadmap set by the previous administration, a total of 25 companies have received regulatory approval for tax exemption for the next three years.
The pioneer status is an incentive offered by the Federal Government, which exempts companies from paying income tax for a certain period. This tax exemption can be full or partial.
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