STATES and local governments in the country have lost billions of naira as revenue from the federation account sequel to the implementation of the Federal Government Road Infrastructure Tax Credit Scheme (RITCS).
The RITC, which is meant to facilitate the construction and rehabilitation of federal roads, encourages companies to commit their resources to the construction of new roads or rehabilitating old ones with the assurance that such expended resources would be recouped from their Companies Income Tax (CIT).
However, according to the constitution, CIT is jointly owned by the three tiers of government. While the Federal Government, in consonance with the current sharing formula, takes…
Source: Nigerian Tribune
