The government has accepted a recommendation by the Constitutional Review Committee (CRC) for the President to pay taxes on his salary and allowances
The government has accepted a recommendation by the Constitutional Review Committee (CRC) for the President to pay taxes on his salary and allowances while in office but has rejected a proposal to tax the President’s retirement gratuity and pension.
Attorney-General and Minister for Justice, Dr Dominic Ayine, announced the government’s position on Thursday, July 30, while presenting the government’s White Paper on the CRC’s recommendations.
According to Dr Ayine, the government agrees that the President should not be exempt from paying taxes solely because of the office he occupies.
“The Government has accepted the principle that the President should not enjoy tax exemptions by virtue of office alone. The President will pay tax on salary and allowances, as well as the applicable indirect taxes on goods and services,” he said.
However, Dr Ayine explained that the government did not accept the recommendation to impose taxes on the President’s retirement gratuity and pension.
“The Government has not, however, accepted the proposal to tax the President’s retirement gratuity and pension, and the details of the President’s tax liability will be worked out in the tax laws, where such details belong,” he added.
The decision forms part of the government’s response to recommendations submitted by the Constitutional Review Committee, which was established to review aspects of the 1992 Constitution and propose reforms aimed at strengthening governance, accountability and democratic practice.
The committee’s recommendations are expected to inform a number of constitutional and legislative reforms as government begins implementing outcomes from the review process.
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