Welcome to this week’s edition of Compliance Updates. Our goal is to provide you with the latest compliance news across Africa. Our team of experts has put in a lot of effort into researching and compiling the most relevant information to keep you well-informed.
House of Representatives Public Accounts Committee to Sanction Government Agencies Over Violation of Treasury Single Account.
The House of Representatives Public Accounts Committee has announced its decision to take action against Ministries, Departments, and Agencies of the government for violating the Treasury Single Account. The committee’s chairman, Bamidele Salam, stated this at a hearing in Abuja on Wednesday. As part of its investigation into alleged leakages and non-remittance of TSA revenue generated through Remita, the committee has summoned the Governor of the Central Bank of Nigeria, the Minister of Finance, and representatives from the Office of the Accountant-General of the Federation to appear before it on February 20. The Managing Director of Remita Payment Service Ltd clarified that Remita acts as a software and payment gateway and does not manage government revenue. The committee expressed concern about the lack of documents from CBN, contrasting with Remita’s provision of a signed contract. The investigation aims to ensure transparency and accountability and is not targeting any specific company.
FIRS Confirms No Tax for Companies Earning Less Than N25m and Online Content Creators.
According to an official of the Federal Inland Revenue Service (FIRS), companies earning less than N25 million are not required to pay tax. FIRS has no plans to tax online content creators, including skit makers. The official stated that only corporate names generating a profit of N25 million and more are required to pay tax. FIRS recently launched a new structure to enhance the country’s tax administration, which includes an integrated tax approach that employs technology to provide seamless and user-friendly interaction for every taxpayer.
Kenyan Public Service Sector in Turmoil as Over 2,000 Employees Found with Forged Academic Qualifications, Calls for Swift Action by DCI and EACC
Over 2,000 government employees have been found to possess fake academic and professional qualifications, according to a recent report by the Public Service Commission (PSC) in Kenya. The investigation, which began in October 2022, uncovered a range of forgery tactics, including altered KCSE mean grades and counterfeit certificates, that were traced back to various ministries, state departments, and semi-autonomous government agencies. The PSC has recommended swift action by the Directorate of Criminal Investigations (DCI) and the Ethics and Anti-Corruption Commission (EACC) to arrest and prosecute the culprits, with a focus on recovering ill-gotten gains and assets obtained through fraudulent means. This development highlights the need for upholding integrity and accountability within the public service sector.
NDPC Mandates Registration for All Entities Collecting Personal Data in Nigeria.
The Nigeria Data Protection Commission (NDPC) has issued a mandatory registration notice for all entities that collect personal data of individuals, including businesses, educational institutions, healthcare providers, and other organizations. According to Section 5(d) of the Nigeria Data Protection Act, 2023, entities that collect and process personal data are required to register as either a Data Controller or Data Processor. The registration period starts from January 30th, 2024, to June 30th, 2024. Failure to register within this period may attract penalties as it is illegal to process personal data without proper registration. To register, please visit the official NDPC Registration Portal at www.service.ndpc.gov.ng. For more information and guidance, visit the NDPC website at www.ndpc.gov.ng or direct inquiries to [email protected]. Stay compliant with the Nigeria Data Protection Act, 2023, by registering your organization today.
Kenya Revenue Authority announces new dates for implementation of pre-filled VAT returns to ensure accuracy and compliance.
The Kenya Revenue Authority (KRA) has revised the implementation date for pre-filled value-added tax (VAT) returns. The new policy will now be implemented from February 2024 instead of January 2024, as previously stated. KRA is reminding taxpayers of their obligation to issue electronic tax invoices and transmit the invoice details to KRA. VAT-registered taxpayers will be required to fill out their self-assessment returns by February 20, 2024, and confirm the accuracy of the declaration before submission of the return upon the rollout of the simplified VAT return filing process. The move aims to ensure all VAT claims are supported by valid TIMS/eTIMS generated tax invoices.
CBN Discontinues Exchange Rate Market Cap on Interbank Foreign Exchange Transactions.
The Central Bank of Nigeria (CBN) has made an announcement regarding the foreign exchange market cap on the spread of interbank foreign exchange transactions. The CBN has discontinued the exchange rate market cap that ranges between -2.5 percent and +2.5 percent of the previous day’s closing rate on the Nigerian foreign exchange market. In a statement dated February 8, 2024, the CBN director, financial markets department, Omolara Duke stated that authorized dealers are to transact on a “willing buyer and willing seller” basis. The move is a part of the CBN’s efforts to promote transparency and market-based price discovery system. All executed transactions are to be recorded immediately on the relevant treasury systems and reported to market authorities.
We hope you found the latest compliance developments informative and useful. We are committed to providing you with the most relevant news.
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Last modified: March 26, 2024
