NECA Flays Stamp Duties’ Directive On Bank Transactions

The Nigeria Employers
Consultation Association (NECA) has kicked against the recent directive of the Central Bank of Nigeria (CBN) to all Deposit Money Banks (DMB) to charge N50 per  bank transaction in accordance with the relevant provision of the stamp duties Act and Federal Government Financial Regulations (2009).
A statement issued on Monday by NECA director general, Mr. Olusegun Oshinowo said the association on behalf of the organised businesses across the country was opposed to the CBN directive to compel bank customers and businesses to affix a N50 postal stamp of the Nigeria postal service (NIPOST) on all receipts, invoices and documents evidencing transaction of N1,000 and above.
Ashinowo in the statement said Kasmal International Services Limited has Appeal the Judgment of the  Lagos High Court in favour of  Access Bank and 23 others to the Court of Appeal  on this subject matter and management of NIPOST were aware of the pending case, stressing that all parties as law abiding citizens were expected to await the pronoucencement of the court.
The NECA DG emphasized that the power to administer the stamp duties act was vested within the for stamps as provided for in section 6 of the act and not within the power of NIPOST or CBN, adding that the act did not make the affixing of postage stamp mandatory, nither did it specify the value to be a N50 postage stamp.
He said in advanced countries stamp duty applicability was only limited to purchase or importation of goods against the position of applying N50 postage stamp to all receipts given by any bank or financial institution in acknowledgement of services rendered in respect of electronic transfer and teller deposit.
He urged the country’s leadership to take a cue from the situation in other chimes to avoid unnecessary economic burden for the organised private sector and citizenry.

Stories by Philip Okparaji