The Federal Government has approved a new taxation deal with the United Arab Emirates that aims to eliminate double taxation between the two countries.
Attorney General and Minister of Justice, Lateef Fagbemi, made the disclosure to State House Correspondents on Wednesday after the Federal Executive Council meeting presided over by President Bola Tinubu at the presidential villa.
He explained that the Council has given the nod for the Nigeria-UAE double tax treaty to be forwarded to the National Assembly for ratification.
According to him, the treaty covers major taxes in Nigeria including personal income tax, company income tax, petroleum profit tax, information technology levy, education tax and capital gains tax.
Fagbemi added that once ratified by the National Assembly, the treaty will help strengthen economic ties between Nigeria and the UAE by removing tax barriers for businesses and investors.
He stated that the Tinubu administration was prioritizing reforms that improve Nigeria’s tax policies and make the country more attractive for foreign direct investments.
According to him, “one of the major issues discussed was the issue of double taxation encouraging foreign direct investment. This time around, it’s about the relationship between the Nigeria the United Arab Emirates.
During her briefing, the Minister of Industry, Trade and Investment, Doris Uzoka-Anite, also announced that an Investment Promotion and Protection Agreement (IPPA) between the countries has been approved by the council for ratification by the National Assembly.
She said her ministry would immediately invoke clauses in the IPPA to review and amend sections that may be unfavorable to Nigeria.