The Chartered Institute of Taxation of Nigeria (CITN), has hailed the Federal Government on the newly upgraded Companies and Allied Matters Act (CAMA) 2020.
President of CITN, Gladys Olajumoke Simplice stated that the amendment was long overdue and necessary for present day realities.
The CITN President made this known at a virtual training and sensitisation programme, organised for tax professionals, recently.
The session which was moderated by the President of Association of Forensic Accounting Researchers(AFAR) Godwin Oyedokun, had professionals in the field of taxation who
interpreted and simplified the new CAMA to tax administrators.
In his presentation, legal expert, Barr. Chukwuemeka Eze who looked at the act from legal perspective, worried about that the non-representation of tax executives in the formation of Corporate Affairs Commission (CAC) Board.
He said that in view of a new policy where every registered company is expected to have a tax identification number (TIN), taxation issues become inevitable.
He argued that consulting non-professionals on taxation issue would reduce Section 1 of CITN Act which provides that the CITN must regulate or control tax issues in all ramifications in Nigeria.
Also speaking at the exercise, a tax expert, Barrister Azeez Alatoye, stated that CAMA 2020 would be highly beneficial to SMEs and Nigerian business environment in general.
In his lesson titled, “CAMA 2020 and Tax Professionals in Nigeria,” Alatoye drew attention to the inconsistency in the classification of SMEs which he said might prompt confusion.
“The old CAMA classified small companies as companies whose turnover is not more than N2 million while the new CAMA says not more than N120 million. Companies Income Tax Act (CITA) defines small company as one with a turnover of not more the N25 million or less.
In her suggestion, a tax expert and Chairperson of Women in Taxation,SWIT, Lagos Chapter, Dr. Titilayo Fowokan asked Federal Government to leave gap for people to be able to comprehend and transit to the provisions of CAMA 2020.
Earlier, Simplice stated that the training important was to enlighten professionals on how they can work with the new act.
“The training is meant to provide various perspectives on how the law impacts our business environment, professionals and the ease of doing business in Nigeria,” she said.