The Director-General of the Small and Medium Enterprises Development Agency of Nigeria (SMEDAN), Charles Odii, is spearheading a nationwide engagement exercise to discuss the implications and opportunities of the proposed Tax Reform Bills with Small and Medium Enterprises (SMEs).
This exercise aims to provide clarity, dispel misconceptions and foster a better understanding among key stakeholders, including local administrators on the proposed Tax Reform Bills.
According to a statement by the Special Adviser on Media to the Director General of SMEDAN, Peter Adeshina, highlighting the significant benefits of the reforms, including the exemption of more small businesses from taxes through raising the tax exemption threshold for SMEs from ₦25 million to ₦50 million in annual turnover, Odii emphasised the importance of basing debates on accurate facts and proposals contained in the Bills.
“We want SMEs to fully understand the implications of these Bills and be adequately represented in the ongoing legislative process. Our priority is for SMEs to reap the full benefits, which will ultimately boost the economy, given that they are the engine of growth. Proposals such as the consolidation of taxes, elimination of nuisance levies, expansion of exemptions, and zero VAT on exports and essential goods reflect the true wishes of SMEs as identified during previous engagements and surveys”, he explained.
Odii further explained that, with over 90% of businesses in the country and more than 80% of employment dependent on SMEs, it is crucial to eliminate arbitrary taxes that increase operational costs as proposed by the Bills and to ensure SMEs can hold relevant authorities accountable for proper implementation.
The Director General of SMEDAN also noted that the engagement sessions would help dispel misinformation and fear-mongering surrounding the Bills, ensuring productive and informed discussions.
