LIVE UPDATES
The Federal Ministry of Finance has launched the Incentive Monitoring and Evaluation Platform, a state-of-the-art electronic system designed to enhance the oversight of tax expenditures associated with import duty exemption certificates.
The Minister of Finance and Coordinating Minister of the Economy, Wale Edun, announced the launch in a statement on Monday.
Edun stated that, the IMEP is part of a wider strategy to decrease tax expenditures and ensure that fiscal policies effectively support the country's economic growth.
It is designed to transform the way the Federal Ministry of Finance assesses the impact of customs duty exemptions granted to government entities, companies, Non-Governmental Organizations, and international organizations.
Edun emphasized that by implementing a strong automated tool, the ministry aims to enhance the monitoring and evaluation of those exemptions.
He elaborated on the various features of the IMEP, such as a claw-back mechanism for duties, electronic report generation, a centralized database for tracking, geo-location tagging for factories, validation of industry qualification status, integration with multiple government agencies, and the issuance of demand notices to those who fail to comply.
"One of the main goals of the IMEP is to establish a framework that prevents ineligible individuals from receiving tax benefits, ensures compliance with fiscal policy measures, and provides a thorough analysis of the economic impact of tax incentives.
"In doing so, the ministry aims to prevent the misuse of tax expenditures, support the realization of economic outcomes from fiscal incentives, and improve the direct measurement of tax incentives' effects on the economy," he stated.
According to Edun, the system is intended to create a framework to monitor and restrict ineligible applicants, enforce strict compliance with fiscal policy measures, and conduct a comprehensive impact analysis of tax incentives on the economy.
"Overall, the introduction of the IMEP marks a significant stride in reducing the cost of tax expenditure and ensuring that tax incentives positively impact the Nigerian economy.
This initiative is part of the government's commitment to promoting transparency, accountability, and efficiency in managing the country's resources," he clarified.
