According to Punch, the Federal
Government has imposed a luxury tax on private jet owners and operators in the
country. As a result, the Nigeria Civil Aviation Authority has directed the
owners and operators of private jets to pay the sum of $4,000 ( N640,000) for
every flight departure within the country. According to a memo to all private
jet operators and obtained by our correspondents, the NCAA ordered that
Nigerian-registered private jets would henceforth pay the sum of $3,000 for
every departure, while foreign registered private jets would pay $4,000 per
departure.
The memo, dated August 28, 2013, and
signed by the Director-General, NCAA, Captain Fola Akinkuotu, was titled,
‘Order charging certain fees on operations in general aviation.’
The memo, with reference number:
NCAA/DG/OR/GA/VOL.11/2013/06, reads, “In compliance with the provisions of
Section 30 (2) (q) & (s) of the Civil Aviation Act of 2006, the Authority
hereby orders: All foreign registered aircraft engaging in non-scheduled
operations shall forthwith pay $4,000 as fees under the provisions of the law
set out above for every departure, except round trips without changes in
passenger manifest, or return ferry. Such fees shall be paid in advance and
prior to departure.
“All Nigerian-registered aircraft
engaging in non-scheduled operations shall forthwith pay $3,000 as fees under
the provisions of the law set out above for every departure, except round trips
without changes in passenger manifest, or return ferry. Such fees shall be paid
in advance and prior to any departure.
“This order shall be effective and in
force immediately upon the date of issuance. Failure to comply shall result in
denial of operations and or privileges.”
The memo is, however, generating
controversy in the aviation sector, with some operators arguing that the levies
are illegal and, as such, they will not pay.
But the NCAA has filed a suit at the
Federal High Court, Lagos, challenging the reluctance of foreign and
locally-registered aircraft operators to pay the levies.
In an originating summons dated September
23, 2013, the plaintiff (NCAA) is praying the court to determine whether by
true construction of sections 30 (2) (q) and 30 (5) of the Civil Aviation Act,
2006, it is empowered to impose fees on all foreign and Nigerian registered
aircraft engaged in non-scheduled operations.
The agency deposed that the payment
of the said fees was to take effect from the date of the issuance of the order.
The affected airlines and aircraft operators under the aegis of the Airline
Operators of Nigeria have described as draconian the policy, which they say
amounts to double taxation and an illegality.If the move by the NCAA becomes
successful, it will affect pastors, business moguls and other private jets
owners in the country, who will be expected to cough out about $1.4m annually
as luxury tax.
Source: Punch
1 comment:
PASTORS IN NIGERIA CAN EASILY PAY THE MONEY ITS REALLY NOT A BIG DEAL AT ALL
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