Nigeria Customs Generate N1.716tn Revenue In 2021
The Nigeria Customs Services has collected total revenue of N1.716tn for the period of January to December 2021.
This was disclosed by the Controller-General of the NCS, Col. Hameed Ali (retd.), who led the management staff of the paramilitary agency to appear before the committee for 2021 budget appraisal and 2022 budget defence.
The House of Representatives Committee on Customs and Excise equally approved a budget with estimates totalling N369.14bn for the Nigeria Customs Service in 2022.
The House raised Customs’ revenue target for the next fiscal year by N965.42bn to N3.019tn.
Reviewing the 2021 budget performance, Ali, in his presentation to the committee, noted that the approved revenue target for the year was N1.679tn.
“When compared with the approved revenue target of the same period January to December 2020, the Service surpassed its target by N504.34bn or 41.63 per cent,” he said.
He said Customs collected the sum of N525.06bn as Value Added Tax on imports from January to December 2021, thereby bringing the total collection to N2.241tn for the period under review.
He said, “Most importantly, the above remarkable performance was recorded amidst the following militating factors: the standing government’s deliberate trade and economic policies (monetary/fiscal) such as the restriction of 43 items from accessing forex at official window.
“The non-functional scanners at the various Customs’ scanning sites. This factor has adversely affected the Service’s ability to carry out effective examination for selective consignments. Only two commodities – cigarette and alcoholic beverages – were under excise control within the period under review.
“Despite the service’s anti-smuggling drive, the nation’s borders remain largely porous which leads to smuggling activities. The extant laws of the service such as the CEMA and Legal Notices are being reviewed.”
Also in 2021, Ali said the NCS had an approved expenditure budget of N257.18bn, out of which a total sum of N153.38bn or 59.64 per cent was the actual receipt as total inflows for the period under review.
Speaking on the proposed 2022 budget, he said, “The revenue target for the year 2022 is based on the Medium-Term Expenditure Framework approved by the National Assembly.
“The revenue target for NCS in the 2022 financial year is set at N3.019tn, consisting of N2.019tn for the Federation; N253.23bn for non-federation; and N746.96bn for import VAT.
“When compared with the 2021 revenue target, the 2022 revenue target is higher by N965.42bn or 31.98 per cent.”