House Committee Addresses N123.48bn Education Tax Dispute

On November 13, the Public Accounts Committee of the House of Representatives intervened in a dispute involving the Nigeria Revenue Service (NRS) and the Tertiary Education Trust Fund (TETFund) regarding the deduction of four percent cost of collection on education tax, totaling approximately N123.48 billion. The committee, led by Honorable Bamidele Salam, reviewed audit queries related to revenue collections and remittances.

NRS officials, including Executive Director Shettima Tamadi, and TETFund's Director of Finance and Accounts, Dr. Gloria Olotu, presented conflicting views on the legality of these deductions. TETFund argued that the law restricts the four percent cost of collection to non-oil revenue, while NRS defended its position, citing Sections 15A and 69 of the NRS Act, asserting that no refund was due.

The committee noted that the NRS's interpretation seemed straightforward but emphasized the need for a definitive legal position from the Attorney-General of the Federation.