12 Apr

Daily Watch – VAIDS gets June deadline extension, NSE lifts shackles on Oando

  • President Muhammadu Buhari has approved the extension of the Voluntary Assets and Income Declaration Scheme to June 30, 2018. The short extension after the original March 31 date is based on the appeals of professional bodies and individual taxpayers, Femi Adesina, the presidential spokesman said. Adesina added that no further extension of time will be approved after June 30. The new date was given based on the conviction of the finance ministry that the overall objective to increase compliance will be attained, and additional revenue will accrue. With a target of raising at least $1 billion from undeclared liabilities, VAIDS applies to all tax-paying individuals, companies, executors and trusts, and covers all taxes collectable by federal and state tax authorities. The goal is to raise the percentage of non-oil tax revenue from the current 6 percent to 15 percent by 2020.
  • The NSE lifted a suspension on the trading of shares in oil company Oando on Wednesday, following an SEC directive, the bourse said. Trading on Oando shares had been frozen for six months on the Lagos stock exchanges after the regulator ordered the suspension to probe alleged insider trading and the oil company’s shareholding structure. The shares resumed trade at ₦6.30, after last closing at ₦5.99 six months ago. The stock exchange notified Oando on the lifting via a letter. It did not provide any reason. In October, SEC said it received two petitions about financial mismanagement by Oando that alleged that related party transactions were not conducted at arm’s length and that there were discrepancies in its ownership structure. The SEC has said a team of auditors, lawyers, stockbrokers and share registrars would conduct a forensic audit on Oando to ensure independence. Accountancy firm Deloitte has been appointed to handle the audit.
  • At least 45 vessels are expected to berth at Lagos’ ports in two weeks, with 15 of them laden with PMS, according to NPA vessel data. The vessels started to arrive on Wednesday, the ports regulator said on its website. The mass importation of petroleum products is expected to bring relief to consumers who have been wasting useful man-hours to queue for fuel at filling stations. Other products expected in the country through Lagos include; fish, fertiliser, general cargo, soya beans, sugar, wheat and ethanol. The NPA stats showed another 10 vessels laden with petrol and base oil have been waiting to berth at the ports but were yet to be cleared as they are let to secure Customs clearance, including four carrying motor vehicles.
  • May & Baker Nigeria recorded significant growth in sales and profitability in 2017 as the healthcare giant continued to implement its medium-term strategic plan. The company’s audited results showed that turnover rose by 10.39 percent from ₦8.47 billion in 2016 to ₦9.35 billion in 2017. Gross profit grew by 29.13 percent to ₦3.28 billion in 2017 as against ₦2.54 billion in 2016. Operating profit jumped by 51.04 percent from ₦820.87 million to cross the billion naira mark to ₦1.24 billion in 2017. Profit before tax leapt by 75.07 percent from ₦345.94 million in 2016 to ₦605.62 million in 2017, while net profit stood at ₦370.87 million in 2017 compared with a net loss after tax of ₦41.09 million recorded in 2016. The board recommended ₦196 million as cash dividend for 2017, a dividend per share of 20 kobo.