Sunday , October 17 2021

NIPOST Fault FIRS, Claims Statutory Right Over Stamp Duty

Nigerian Postal Service (NIPOST) has insisted that it has the statutory powers to print, mint, produce, retail and provide adhesive postage stamps and as such claim custodian of stamp duty.

In a statement NIPOST faulted a circular by Federal Inland Revenue Service (FIRS) saying it contained legal contradictions.

FIRS and NIPOST have ongoing contention over the custodian of stamp duty.

NIPOST in a  statement said: “The NIPOST wishes to draw the attention of the general public to the aforementioned circular issued by the FIRS and hereby inform the public that the NIPOST has observed several legal contradictions contained in the Finance Act 2019, the basis of the circular.

“We, however, wish to allay the concerns of the general public that NIPOST has taken steps to ensure that the legal contradictions are addressed by the appropriate authorities.”

“The statutory powers of NIPOST to print, mint, produce, retail, and provide adhesive postage stamps for the use of Nigerians to comply with the stamping protocol remains intact.”

In a circular that was released in May, the Federal Inland Revenue Service (FIRS), announced that stamp duty will now be attached to electronic messages that show that money was transferred from someone to another person.

“Any electronic receipt for, or electronic transfer of money deposited with any bank or with any banker in any type of account of an amount from N10,000 upwards shall attract a singular or one-off duty of the sum of N50,” Muhammad Nami, executive chairman of the FIRS said on the tax agency’s website.

READ ALSO: NIPOST Allays Fear, Works Goes On Despite Fire Outbreak

In the case of a business transaction, the circular says, “stamp duty upon receipt (written, printed or in electronic form) for transactions between corporate bodies or between a corporate body and an individual, group or body of individuals, which amounts to N10,000 and above, shall be denoted by payment of N50 per receipt to the service.”

The fee is not limited to bank transfers as it also applies to POS receipts, fiscalised device receipts, Automated Teller Machine (ATM) print-outs etc.

About Bukola Olanrewaju

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