RMAFC To Probe 22 Banks Over Low Returns On Stamp Duty

The Revenue Mobilisation Allocation and Fiscal Commission (RMAFC), has said it will probe 22 banks in the country for non-remittance of stamp duty fund since January 2000.

This was disclosed by the commission’s spokesperson, Ibrahim Mohammed, who added that the banks have so far only remitted N33 billion which he described as being below expectations.

“The commercial banks have been deducting the sum of N50 on every deposit with a value of N1, 000 and above since January 2000.

“At the moment, the total sum of N33bn had been realised through the collection of stamp duties which falls far below the expectation of stakeholders. It is expected that at the end of the exercise, over N100bn will be recovered,” Mohammed said.

“The commission has concluded arrangement to engage the services of reputable forensic audit firms to carry out the probe of the banks. The probe will be comprehensive as it will cover the affixed stamp used on cheque books prior to the introduction of electronic transactions.”

He further stated that forensic audit firms will be engaged to carry out the probe over stamps used on cheque books prior to the introduction of electronic transactions in order to reduce revenue leakages and enhance remittance into the federation account.

Mohammed, however, called on the support of stakeholders, especially the Department of Petroleum Resources (DPR), the Federal Inland Revenue Services (FIRS) and the Central Bank of Nigeria (CBN) to help it succeed in the exercise.

Stamp duties are charges collected on legal documents such as cheques, receipts, military commissions, licences and land transaction papers.

Meanwhile, the commission with a focus to engage other stakeholders began a reconciliation exercise of signature bonuses and other miscellaneous revenues from the oil and gas industry

RMAFC was established to monitor accruals into and disbursement of revenue from the Federation Account, review from time to time the revenue allocation formula and principles in operation to ensure conformity with changing realities.