FG Imposes N50 Stamp Duty on Bank Customers

Nigeria bank customers to pay N50 Stamp Duty for money deposited into their account.

Information reaching The Total Entrepreneurs is that bank customers will henceforth be compelled to pay stamp duties for money received into their accounts.

The Federal Government through the Central Bank of Nigeria made this known to DMBs and other financial institutions on Tuesday.

FG Imposes N50 Stamp Duty on Bank Customers

Consequently, bank customers will henceforth pay N50 stamp duty for money received into their accounts via electronic transfer, cash and cheques.

This order was contained in a circular to all Deposit Money Banks and Other Financial institutions titled, Collection and Remittance of statutory charges on receipts of Nigeria Postal Service under the Stamp Duties Act.

The CBN stated, “As part of efforts to boost its revenue base, the federal government of Nigeria is exploring revenue opportunities in the non-oil sectors especially taxes and rates.

It is in recognition of this fact that banks and other financial institutions are enjoined to support government’s revenue drive through compliance with the provisions of the Stamp Duties Act, LFN 2004 as reinforced by the court judgement in Suit No FHC/L/CS/1710/2013. In this regard, the CBN pursuant to the provisions of its enabling laws, hereby issues this circular to all DMBs and other financial institutions.”

The statement also read;

“With immediate effect, all DMBs and other financial institutions shall commence the charging of N50 per eligible transaction in accordance with the provisions of the Stamp Duties Act and Federal Government Financial Regulations 2009, that is, all receipts given by any bank or other financial institution in acknowledgment of services rendered in respect of electronic transfer and teller deposits from N1, 000 and above.”

“For all avoidance of doubt the following receipts are however exempted from imposition of stamp duties: payments of deposits or transfer by self to self whether inter or intra bank; and any form of withdrawals/transfers from saving accounts.”

It should be noted that these charges are only payable by receiving accounts.

“Each DMB shall open an account designated as NIPOST Stamp Duties Account into which all charges collected shall be paid. The balances in such accounts shall be transferred monthly by the DMBs to CBN NIPOST Stamp Duty Collection Account No. 3000047517.”

Other financial institutions shall remit their Stamp Duty collections to any DMB of their choice.

Reacting to this development on social media, a bank customers Mr Jerry Eze said,

“Is this the change that we were promised. Government has been looking every where to boast the national purse even if means milking already impoverished citizens dry. When will the masses be remembered in the present administration’s new policies.”

Airing his view on the recent development, Mr Paul Ndulaga D Governor said, “So you are indirectly telling Nigerian’s to quit banking?”

Many Nigerians are frowning at this development and calling on the APC led government to change its policies to benefit the poor masses and not compounding their issues.

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Francis Nwokike

Francis Nwokike is the Founder and Chief Editor of The Total Entrepreneurs. A Social Entrepreneur and experienced Disaster Manager. He loves researching and discussing business trends and providing startups with valuable insights into running a profitable business. He created TTE to share ideas and tips to help entrepreneurs run and grow their businesses.

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