SINGAPORE: The Federal Executive Council (FEC) on Wednesday approved a bilateral agreement for the avoidance of double taxation in business deals between Nigeria and Singapore.
The approval, ratified at the 22nd meeting of FEC, presided over by Vice President Yemi Osinbajo, would also prevent tax evasion on income and capital benefits between Nigeria and Singapore.
The Minister of Finance, Mrs Kemi Adeosun, told State House correspondents that the objective of the agreement was to facilitate more trade between Nigeria and Singapore. She said it would succeed by ensuring that nationals or enterprises were not taxed twice on income or profits derived from each of the countries.
It will encourage more direct foreign investments into Nigeria, allow investors to know what their tax obligations will be and ensure sustainable tax regime for each country,’’ she said.
The minister disclosed that the underlining principle behind the agreement was that Singapore had been a major trading partner with Nigeria. She said the country was a major importer of Nigeria’s crude oil.
They buy oil from us. Petroleum export to Singapore for the last five years is about $264 billion and we import about N311 billion worth of goods from them.’’
Also the Minister of State, Aviation, Sen. Hadi Sirika, told correspondents that FEC approved bilateral air service agreement among Qatar, Singapore and Nigeria.
According to him, Singapore is becoming the most efficient and the biggest hob around the far eastern part of the globe, serving New Zealand, Australia, Japan, China, Singapore and Indonesia.
