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SPECIALISED  TAXATION -Air and sea transport business  -Engaged in cable undertaking  -Foreign companies engaged in  -insurance business(life and non-life) -Authorized unit trust scheme   Income derived in Nigeria   Exempt  -loaded or routes outside Nigeria -In transit in Nigeria     COMPUTATION OF ASSESSABLE PROFIT BY FIRS .  The format to be used is as prescribed by CITA   However this   format can be used as a guide    Adjusted profit ratio=profit b4 depreciation /worldwide income.    Depreciation ratio =Depreciation allowance /worldwide income   Assessable profit =income receivable in Nigeria * profit ratio   Less Capital allowance =income Received in Nigeria * depreciation ratio   Total profit Income tax payable= CURRENT TAX RATE.   C. Minimum tax APPLICABE RATE AS SPECIFIED BY CIT    LIFE ASSURANCE...

  SUMMARY OF TAXATION   OF TRUST,SETTLEMENT & ESTATE. ESTATE: Is the total property own by individual. TRUST: Is where a   title is vested on a person(s) called trustee for the benefit of another called beneficiary which is created legally. Settlement: where a sum is set aside for the benefit of another person. FORMAT. 1.SUMMATION OF ALL THE INCOME 2.DEDUCT ALLOWABLE EXPENSES=TRUSTEE FEES,LEGACY,ANNUITY. 3.ARRIVE AT COMUTED INCOME. 4.LESS DISCRETIONARY PAYMENT. 5.ARRIVE AT REMAINDER OF COMPUTED INCOME. 6.ANY DISTRIBUTABLE TO THE AS IN THE DEED. 7.ARRIVE AT TRUSTEE INCOME.                   QUESTION. MAL.MUSA WHO DIED DIRECTED THAT HIS PROPERTIES SHOULD BE SHARED TO HIS 3 CHILDREN. OBI,OLU AND ISA. THE RECORDS OF THE TRUSTEES SHOWS THE FOLLOWING. RENTAL INCOME (GROSS) = N1,000,000 TRADING INCOME=1,200,000 DIVIDEND(GROSS)=700,000 INTEREST(GROSS)=5...

  WHAT IS  VAT?   VAT is a tax on value added on goods and services. The value added on a product is  the output value minus the input cost. Value added tax has been successful in many countries. It has been challenging especially in the area of international online business. Recently some countries has asked online vendors to register for VAT in the country of buyer. current Vat rate-7.5% VAT PENALTY Below are some VAT penalties in Nigeria. FAILURE TO REGISTER FOR VAT  According to VAT Act 1993 as amended 1.A taxable person shall, within six months of the commencement of the Act, or six months of the commencement of business, whichever is earlier register with Firs 2.A taxable person who fails or refuses to register within the specified period shall be liable to N50,000  for the  first month and N25,000 for each of  the subsequent month in which the failure occur. FAILURE TO REMIT TAX.  1 . Failure to remit tax  within the spe...

WHEN BUSINESS  CEASE TO OPERATE  THE ACCOUNTING IS BASED ON TWO RULES -THE FINANCE ACT HAS CHANGED THE PREVIOUS RULE  THE TAX IS NOW  BASED ON THE ACTUAL PROFIT FOR THE YEARS . Disclaimer : Obi Azubuike is not by this publication acting as a professional advisers and therefore not liable to any  damage whatsoever for your acting or refraining to act based on  this publication. Consult your professional for advice.  copyright(c) 2016-Obi Azubuike

  . STATE THE PERSONS WHO ARE THE SUBJECT OF NIGERIAN INCOME TAX LAWS RESIDENT ARE SUBJECT TO TAX IN NIGERIA   COMPANY   -A company is a residence once incorporated in Nigeria. This means that their global income is subject to tax in Nigeria Definition of residency individual An individual is said to be resident in a particular year of assessment if he 1.        Is domiciled in Nigeria 2.        Sojourn in   Nigeria for a   period   or periods in all   amounting to 183 days or more in a 12 month period 3.        Serves as a diplomatic agent of Nigeria in a country other than Nigeria   SEE MORE    Disclaimer : Obi Azubuike is not by this publication acting as a professional advisers and therefore not liable to any  damage whatsoever for your acting or refraining to act based on  this publication. Con...

WHAT YOU SHOULD KNOW? KNOW RELEVANT TAX AUTHORITY THAT ADMINISTER DIFFERENT TAXES   -COMPANY INCOME TAX -CIT. RELEVANT TAX AUTHORITY-FIRS(FEDERAL INLAND REVENUE SERVICE) -PETROLEUM PROFIT TAX-PPT. RELEVANT TAX AUTHORITY-FIRS(FEDERAL INLAND REVENUE SERVICE) -CAPITAL GAIN TAXES AND STAMP DUTIES-CGT FOR COMPANIES .  RELEVANT TAX AUTHORITY-FIRS (FEDERAL INLAND REVENUE SERVICE) -PERSONAL INCOME TAX (PIT) FOR STATES- RELEVANT TAX AUTHORITY-STATE (INTERNAL REVENUE OF THE STATE) -EDUCATION TAX-ED. RELEVANT TAX AUTHORITY-FIRS (FEDERAL INLAND REVENUE SERVICE) -INFORMATION TECHNOLOGY TAX. RELEVANT TAX AUTHORITY-FIRS (FEDERAL INLAND REVENUE SERVICE) -CAPITAL GAIN TAXES AND STAMP DUTIES-CGT FOR STATES-(INTERNAL REVENUE OF THE STATE)   GENERAL OBJECTIVE 2:KNOW THE ADMINISTRATIVE MACHINERY AND INCOME TAX REGULATIONS IN  NIGERIA AT THE END OF THE LECTURE  THE STUDENT SHOULD KNOW 2.1ADMINISTRATIVE MACHINERY CURRENTLY IN EXISTENCE IN  NIGERIA TAX LAW...

SOURCES OF TAX LAWS. -STATUTE LAW -Act of parliament. -CASE LAWS (judicial precedence) -Customary laws. -Circular by minister of Finance. -Practices, Circulars and recommendations by tax authorities. -Recommendations  by tax professional body. SEE MORE GET TAX PLANNING TEMPLATE FOR 70,000NGN  WHATSAPP 234 8098810999 08067922530 Disclaimer : Obi Azubuike is not by this publication acting as a professional advisers and therefore not liable to any  damage whatsoever for your acting or refraining to act based on  this publication. Consult your professional for advice.  copyright(c) 2016-Obi Azubuike