BANKRUPTCY Bankruptcy refers to a legal state. Bankruptcy is a legal process through which people or other entities who cannot repay debts to creditors may seek relief from some or all of their debts. In most jurisdictions, bankruptcy is imposed by court order, often initiated by the debtor. It’s designed to help individuals …
Tax is a compulsory levy imposed on taxpayers by any government on an individual or an organization to fund government spending and various public expenditures. Where there’s a refusal to pay taxes or evasion of taxes, there will be penalties made available. The main aim of taxation is to generate revenue for the government. Major …
Tax Treaty is known as an Avoidance of Double Taxation Agreement. It could be described as an agreement between two or more countries (otherwise known as the Contracting States or parties) with the aim of making sure that a resident of one or both of the contracting countries. A tax treaty is a bilateral …
COMMENCEMENT A company that commences business should apply the Preceding Year Basis (PYB) for all the years of assessment during commencement. With respect to the first year of assessment, the basis period of a company shall be from the date it commences business to the end of its first accounting year-end date, irrespective of whether …
Commencement, Change Of Accounting Date, And Cessation Under The Finance Act 2020 Read More »
P.A.Y.E represents Pay As You Earn. Nigeria adopts a Pay-As-You-Earn (PAYE) system to calculate the personal income tax of employees. It is called PAYE tax. HOW DOES IT OPERATE? Salary earners in Nigeria are authorized by the law to pay tax under the Pay As You Earn (PAYE) scheme. Every month a portion of one’s …
WHAT IS CAPITAL ALLOWANCE? Capital allowance is an amount of money spent on business assets that can be subtracted from what a business owes in tax. Capital allowances allow taxpayers to get tax relief on their tangible capital expenditure by allowing it to be deducted against their annual taxable income. WHY CAPITAL ALLOWANCE? The purpose …
WHAT IS STAMP DUTY? According to the Oxford dictionary, stamp duty is a duty levied on the legal recognition of certain documents. It could also be seen as a tax imposed on the sales of property/property ownership by the state government. Stamp duty can serve as evidence of ownership in court, in case of any …
