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Yam, Egg, Milk, Fish Exempted From VAT — Highlights Of 2020 Budget - Politics - Nairaland

Nairaland Forum / Nairaland / General / Politics / Yam, Egg, Milk, Fish Exempted From VAT — Highlights Of 2020 Budget (23478 Views) (2) (3) (4)

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Yam, Egg, Milk, Fish Exempted From VAT — Highlights Of 2020 Budget by Islie: 10:38pm On Oct 08
On Tuesday, President Muhammadu Buhari presented the 2020 appropriation bill of N10.33 trillion to the national assembly.

The appropriation bill also comprises statutory transfers of N556.7 billion, non-debt recurrent expenditure of N4.88 trillion and N2.14 trillion of capital expenditure.

We bring you key other highlights of the budget below:


WORKS GETS LION SHARE, NIGER DELTA MINISTRY GETS LEAST

The ministry of works and housing got the highest allocation among the ministries with N262 billion, followed by ministry of power which has N127 billion, and transportation with N123 billion.

The social investment programmes including the N-Power scheme and the school-feeding initiative among others got N30 billion while the ministry of Niger Delta affairs got least allocation with N24 billion (this is, however, aside the N62 billion budgeted for the amnesty programme). You can check out other MDAs allocations here .


CAPITAL PROJECTS GET N2.46TRN

Buhari said the federal government hopes to spend a total of N2.46trn on capital projects during the 2020 fiscal year, inclusive of N318.06 billion in statutory transfers.

“Although the 2020 capital budget is N721.33 billion (or 23 percent) lower than the 2019 budget provision of N3.18 trillion, it is still higher than the actual and projected capital expenditure outturns for both the 2018 and 2019 fiscal years, respectively,” he said.


PRIORITY FOR ONGOING PROJECTS

The president said the emphasis of the 2020 budget will be the completion of “as many ongoing projects as possible”, rather than commencing new ones.

“MDAs have not been allowed to admit new projects into their capital budget for 2020, unless adequate provision has been made for the completion of ALL ongoing projects,” he said.
“Accordingly, we have rolled over capital projects that are not likely to be fully funded by the end of 2019 into the 2020 Budget. We are aware that the National Assembly shares our view that these projects should be prioritised and given adequate funding in the 2020 Appropriation Act.”


ESTIMATES BASED ON VAT INCREASE, OVERHEAD COSTS AT N426.6BN

The 2020 appropriation bill is proposed based on the planned increase of the VAT rate from 5% to 7.5%, while the overhead costs are projected at N426.6 billion.

Buhari said the additional revenues will be used to fund health, education and infrastructure programmes, with 85 percent going to states and local governments.

“Additionally, our proposals also raise the threshold for VAT registration to N25 million in turnover per annum, such that the revenue authorities can focus their compliance efforts on larger businesses,” Buhari said, adding that this is to enable proper growth of MSMEs.”


FISH, YAM AND BREAD AMONG ITEMS EXEMPTED FROM VAT

Buhari said some of the items which will be exempted from the VAT, in addition to the pharmaceuticals, educational items, and basic commodities already excluded by the VAT act, include brown and white bread, cereals, fish of all kinds, flour and starch meals.

Others are fruits, vegetables, roots (yams etc), herbs. salt, milk, meat and water.


BUDGET DEFICIT OF N2.18TRN, GDP GROWTH RATE AT 2.93% AND N2.45TRN FOR DEBT SERVICE

The appropriation bill further proposes a budget deficit of N2.18 trillion in 2020, including drawdowns on project-tied loans and the related capital expenditure.

“This represents 1.52 percent of estimated GDP, well below the 3 percent threshold set by the Fiscal Responsibility Act of 2007, and in line with the ERGP target of 1.96 percent,” the president said.

The president also said the federal government is setting aside N2.45 trillion for debt service during the 2020 fiscal year, out of which 71 percent is to service domestic debt which accounts for about 68 percent of the total debt.

He said there is an expected GDP growth of 2.93% in 2020, “driven largely by non-oil output, as economic diversification accelerates” with inflation expected to remain slightly above single digits in 2020.


MDAS PROHIBITED FROM SETTING UP NEW LIASON OFFICES

Buhari said he has directed the stoppage of the salary of any federal government staff that is not captured on the Integrated Payroll and Personnel Information System (IPPIS) platform by the end of October 2019.

The current administration had introduced the platform to help manage personnel costs among other reasons.

He added that the proliferation of zonal, state and liaison offices by MDAs will no longer be tolerated as part of efforts to “sustain our efforts in managing personnel costs.”

“All agencies must obtain the necessary approvals before embarking on any fresh recruitment and any contraventions of these directives shall attract severe sanctions,” he added.



https://www.thecable.ng/yam-egg-milk-fish-now-exempted-from-vat-highlights-of-2020-budget

8 Likes 4 Shares

Re: Yam, Egg, Milk, Fish Exempted From VAT — Highlights Of 2020 Budget by ursullalinda(f): 11:10pm On Oct 08
Good one anything to reduce cost on food. There is hunger in the land

25 Likes 2 Shares

Re: Yam, Egg, Milk, Fish Exempted From VAT — Highlights Of 2020 Budget by BarrElChapo(m): 11:10pm On Oct 08
ok
Re: Yam, Egg, Milk, Fish Exempted From VAT — Highlights Of 2020 Budget by oluwaVaz(m): 11:10pm On Oct 08
Ok
Re: Yam, Egg, Milk, Fish Exempted From VAT — Highlights Of 2020 Budget by YorubaNinja: 11:10pm On Oct 08
Majority of pple on here no go understand the impact... See as dem quiet. grin All dem care abt na BBN. Foolish 9ja youths angry

195 Likes 10 Shares

Re: Yam, Egg, Milk, Fish Exempted From VAT — Highlights Of 2020 Budget by vickyjessica(f): 11:11pm On Oct 08
Hummnn second to comment yaaayy

1 Like 1 Share

Re: Yam, Egg, Milk, Fish Exempted From VAT — Highlights Of 2020 Budget by seunmohmoh(f): 11:11pm On Oct 08
We go dey alright las las.

5 Likes 1 Share

Re: Yam, Egg, Milk, Fish Exempted From VAT — Highlights Of 2020 Budget by aspirebig: 11:12pm On Oct 08
Garri nko oooo

1 Like

Re: Yam, Egg, Milk, Fish Exempted From VAT — Highlights Of 2020 Budget by harley88(m): 11:12pm On Oct 08
Nice one from our dear bubu.

Waiting for children of perdition to enter this thread

13 Likes 3 Shares

Re: Yam, Egg, Milk, Fish Exempted From VAT — Highlights Of 2020 Budget by klas(m): 11:12pm On Oct 08
Raw food items have never been vatable items at any time even if you buy them in supermarkets.
What is news here?

81 Likes 4 Shares

Re: Yam, Egg, Milk, Fish Exempted From VAT — Highlights Of 2020 Budget by Datingcomrade(f): 11:12pm On Oct 08
It's alright, keep on whining.

1 Like 1 Share

Re: Yam, Egg, Milk, Fish Exempted From VAT — Highlights Of 2020 Budget by SABA2002(m): 11:13pm On Oct 08
Thanks be to God for the free gift of life, oxygen and love.

23 Likes 2 Shares

Re: Yam, Egg, Milk, Fish Exempted From VAT — Highlights Of 2020 Budget by Bridget95(f): 11:13pm On Oct 08
How can African economies encourage investment when thye increase tax, multiple taxation scare off investors.

3 Likes

Re: Yam, Egg, Milk, Fish Exempted From VAT — Highlights Of 2020 Budget by point5: 11:13pm On Oct 08
What hhhhhhhhhh
Re: Yam, Egg, Milk, Fish Exempted From VAT — Highlights Of 2020 Budget by xcel88: 11:13pm On Oct 08
God

Re: Yam, Egg, Milk, Fish Exempted From VAT — Highlights Of 2020 Budget by seunmohmoh(f): 11:13pm On Oct 08
vickyjessica:
Hummnn second to comment yaaayy
Try using Mtn 5g

1 Like

Re: Yam, Egg, Milk, Fish Exempted From VAT — Highlights Of 2020 Budget by TechX1: 11:14pm On Oct 08
Ok

1 Like

Re: Yam, Egg, Milk, Fish Exempted From VAT — Highlights Of 2020 Budget by Wickedtruths: 11:14pm On Oct 08
What of Trophy and Olosho?

2 Likes

Re: Yam, Egg, Milk, Fish Exempted From VAT — Highlights Of 2020 Budget by Liveair: 11:16pm On Oct 08
We are not moved. We already know that nothing good can come out of a Buhari govt.

2 Likes 1 Share

Re: Yam, Egg, Milk, Fish Exempted From VAT — Highlights Of 2020 Budget by fowlyansh181(m): 11:17pm On Oct 08
Why the increase in the first place? Cut a million naira each from senators and each politician’s salary and it can still easily cover this stuffs.. stop making life hard for the average human being

17 Likes

Re: Yam, Egg, Milk, Fish Exempted From VAT — Highlights Of 2020 Budget by ibnzubair(m): 11:18pm On Oct 08
Exempted? Was it VATable before?

11 Likes 2 Shares

Re: Yam, Egg, Milk, Fish Exempted From VAT — Highlights Of 2020 Budget by samorobo: 11:20pm On Oct 08
Ok this seems good.....I will give kudos to Buhari new Economic team grin grin

2 Likes 1 Share

Re: Yam, Egg, Milk, Fish Exempted From VAT — Highlights Of 2020 Budget by samorobo: 11:20pm On Oct 08
fowlyansh181:
Why the increase in the first place? Cut a million naira each from senators and each politician’s salary and it can still easily cover this stuffs.. stop making life hard for the average human being

True

3 Likes

Re: Yam, Egg, Milk, Fish Exempted From VAT — Highlights Of 2020 Budget by Isoduwa(m): 11:20pm On Oct 08
YorubaNinja:
Majority of pple on here no go understand the impact... See as dem quiet. grin All dem care abt na BBN. Foolish 9ja youths angry

Abeg Yorubawarlord explain am give us amicably

2 Likes

Re: Yam, Egg, Milk, Fish Exempted From VAT — Highlights Of 2020 Budget by SendAbroad: 11:21pm On Oct 08
Of what use is a Ministry of works that doesn't do any work.

5 Likes

Re: Yam, Egg, Milk, Fish Exempted From VAT — Highlights Of 2020 Budget by FarahAideed: 11:21pm On Oct 08
klas:
Raw food items have never been vatable items at any time even if you buy them in supermarkets.
What is news here?

Exactly , APC trying to scam Nigerians as usual

13 Likes

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