Nigerians have lambasted the N50 per 1000 naira transaction policy of the central bank of Nigeria. Those who spoke against the policy maintain across the nation that it would increase poverty mong the people who were already bearing the brunt of a failing economy.

They  said policy is the fall out of the visit by the IMF managing director, Christine Lagarde, where she told the authorities that for the economy to be revived in the face of dwindling oil prices, taxes have to be raised.

Consequently, the CBN has swiftly issued a circular slamming the charge under the Stamp Duty Act.

The circular reads in part: “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: 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”.

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