THE Nigeria Employers’ Consultative Association (NECA) has expressed ‘grave concern’ over the directive of Central Bank of Nigeria (CBN) to all Deposit Money Banks (DMBs) to charge N50 per eligible transaction in accordance with the provisions of the Stamp Duties Act and Federal Government Financial Regulations (2009).

NECA recalled that organised businesses had opposed attempts by the Nigeria Postal Service (NIPOST) to compel companies to affix a N50 postal stamp on all receipts, invoices and documents exceeding transaction of N1, 000 and above.

Speaking in Lagos, the Director-General of NECA, Olusegun Oshinowo explained that: “there is a pending case at the Court of Appeal on this subject matter between Kasmal International Services Limited and. Access Bank & 23 others.

In a statement, Oshinowo said: “NIPOST is aware of this development and all parties, as law abiding citizens, were expected to await the pronouncement of the court”, adding that “the power to administer the Stamp Duties Act is within the purview of the Commissioner for Stamps as provided for in Section 6 of the Act, and not NIPOST or CBN and that the Act did not make the affixing of postage stamp mandatory, neither did the Act specify the value to be a N50 postage stamp”.

He urged the Buhari administration not to introduce policies that will increase the burden on the citizens and firms within the economy.

He advised Nigeria to take a cue from other climes where, according to him, stamp duty’s applicability is limited to purchases involving large sums like a house purchase or importation of goods, as 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 deposits”.

Speaking further on behalf of the organised private sector, Oshinowo said: “President Buhari will do well by ignoring the call by the Central Bank of Nigeria (CBN) to boost the revenue base of the Federal Government through this means, which will increase the burden on citizens and kill struggling businesses.