CUSTOMS BUDGET 2022: Reps OK N3,01Trn Revenue Target
By Urube Peter, Abuja
The Chairman House committee on Nigerian Customs Service (NCS) Hon Leke Abejide has parted the leadership of customs for the budget performance of 2021 and urged the agency to sustained the temple to meet its revenue target of N3.019 for the 2022 fiscal year.
This statement was made at the presentation of the Nigeria Customs Service 2022 budget proposals at the National Assembly Complex, Abuja.
“After commending the leadership, CGC and his team, Abejide urged them to improve on its revenue collections in 2022
The chairman sternly advised was based on recent circular from the Office of the Secretary to the Government of the Federation, OSGF which raised the threshold service-wide for Ministries, Department and Agencies (MDAs) on contract awards, it will be unforgivable for any agency not to perform better in revenue generation at the end of this year.
Abejide jear-up customs Controller-General, Hameed Ali, that NASS won’t accept the presentation of the 2023 budget proposal of the Service if they slack in capital projects 2022. But went ahead to assured the agency of legislative support.
Elder Ajibade said the Committee on Customs of both Chambers of the Senate and House of Representatives have resolved that a reasonable amount is enough to put back into use the 13 of the 22 faulty scanners been appropriated out of the N27 billion surplus from the 2021 Collections and that would be incorporated into the 2022 budget.
The lawmaker declared, the Committee will change the budget cycle of the NCS to fall in line with the national budget and the service budget should be ready from mid- November, so that lawmakers shall work it and pass it every December.
He said: “If you notice it is only the NCS Budget that suffers delay into the first quarter and even sometimes, into the Second Quarter. We want to discourage this trend so that you can perform in the area of capital projects. We equally want to suggest that the CGC and Management Team, especially, the department be saddled with the responsibility of executing the capital projects to implement capital projects in phases.”
Earlier in his presentation, the CGC, Ali revealed the revenue target for NCS in 2022 financial year set at N3.019 trillion, consists of N2.019 trillion for Federation; N253.23 billion for Non-Federation and N746.96 billion for Import Value Added Tax (VAT).
He said when compared with the 2021 revenue target, the 2022 revenue target is higher by N965.42 billion or 31.98% which could be achieved through strategies to improve revenue generation such as E-customs project implementation and commencement of the attractable excise duty of 6% on telecommunication services and N10 per litre on carbonated drinks.
The Customs director general said another strategy is the installation of functional scanners, stating that; “three functional mobile scanners have already been installed at different Customs locations. This would translate to effective trade facilitation and enhancement of revenue generation in 2022.
“Anti-Smuggling Campaign: Subsequent to the purchase and deployment of operational vehicles, two (2) sea-going vessels and eighteen (18) patrol boats across Customs’ formations, would enhance the suppression of smuggling activities across difficult terrains and improve on the Services’ revenue generation.