In a bid to further cushion the current socio-economic conditions in the country, The Federal Government has proposed in the new Finance Act that those who earn minimum wage should be exempted from paying income tax.
The government also said that the exemption and other items in the proposed Bill, alongside various economic policies and incentives would ensure the resilience of the Nigerian economy to exogenous shocks.
These were contained in a statement by the Senior Special Assistant to the President on Media and Publicity, Office of the Vice President, Laolu Akande on Monday.
According to the statement, the President made these disclosures in his speech delivered virtually by Vice President Yemi Osinbajo, SAN, on Monday at the opening session of the 26th Nigerian Economic Summit Group Conference with the theme: “Building Partnerships for Resilience”.
“We are proposing in the new Finance Act that those who earn minimum wage should be exempted from paying income tax.
“These provisions which complement the tax breaks given to small businesses last year will not only further stimulate the economy, but are also a fulfilment of promises made to take steps to help reduce the cost of transportation and the impact of inflation on ordinary Nigerians,” President Buhari said.
Explaining the role of the private sector in building a resilient economy, President Buhari said, “this government has always emphasized that the private sector has a key role to play in our efforts to build a more resilient and competitive economy as expressed in the Economic Recovery and Growth Plan.
“Private companies in design, construction, logistics and finance are very much engaged in our infrastructural projects in power and rail as well as road and bridges and the installation of broadband infrastructure which is an essential requirement if Nigeria is to participate actively and benefit from the 4th Industrial Revolution.”
