Created by
LaredSystems
© 2011 SSBEYCONSULTING
PERSONAL INCOME TAX MANAGEMENT
● Assisting and consulting every registered member of staff individually on tax problems and regular update from time to time on changes in the tax laws.
● Filing Personal Income Tax Returns Forms with the relevant Internal Revenue Department.
● Obtaining Tax Deduction Cards and maximum Free Pay Allowance for every member of staff.
● Obtaining Tax Clearance Certificate for every registered member of staff at the beginning of every tax year ? usually before the middle of February, each year.
● Reconciling the amounts deducted from individual staff salaries with the amounts payable to the relevant Tax Authority.
● The tax matters of expatriate staff are handled separately to meet both local and international tax requirements.
TAX EFFICIENT COMPENSATION PACKAGE
Under the tax efficient compensation package, the staff compensation is structured to make the remuneration components
tax efficient within the provisions of the tax laws.
The assignment takes the following order:
● Reviewing the existing compensation package for tax efficiency
● Preparing a tax efficient compensation package
● Discuss the draft compensation package up till its finalization with the management
● Assist in preparing and designing all relevant personal file, payroll accounting documentation.
● Assisting in the implementation of the compensation package for the first three months of its introduction.
PAYE TAX AUDIT MANAGEMENT SERVICES
PAYE tax audit is conducted by State Governments to ascertain the level of compliance of the employer with the provision
of the tax law. The state government in their quest for increased revenue has on yearly basis embarked on tax audit. In order
to safeguard the interest of our clients we approach tax audit as follows:
Pre-
At this stage we embarked on a comprehensive review of the company’s records in preparation for the audit. Problem areas will be identified and adequately planned for. The documents requested by the Tax Inspectors will be collated and made ready for the audit.
Field audit Management
We physically present the records of our clients to the Tax Inspectors. All questions and queries raised on the record will be attended to by us and the file of the clients is monitored at the inspector’s office.
Post audit Management
At this stage, we review the report of the Tax Inspectors and file an objection letter on the areas of disagreement. We also attend tax reconciliatory meetings and agree our tax position with the inspector at the end of which we advise the client to effect payment of the agreed liability if any. Finally, we also obtain the tax audit clearance letter at the conclusion of the audit exercise.
● Reviewing the compensation package
● Determining the tax payable
● Physical presence and assisting in the automation of tax related field in the payroll system.
● Testing of payroll run for adequacy of tax deduction for three months of implementation
● Reconciliation of monthly payroll tax figures with end of year tax report.
● Reconciliation of tax deducted with tax remitted to the State Government.
STAFF PROVIDENT FUND SCHEME (APPROVAL/RENEWAL)
● Reviewing the draft copy of the trust deed or amended trust deed as applicable and other required documents to obtain provisional approval or annual renewal of the Joint Tax Board
● Submitting the relevant documents to the Joint Tax Board on behalf of the company at the JTB office in Abuja
● Liaising with the officials of the Joint Tax Board on behalf of the company
● Applying for, and processing the approval from the Joint Tax Board
● Any other assignment incidental to approval of the Staff Provident fund scheme.
CORPORATE TAX MANAGEMENT SERVICES
Our CORPORATE TAX menu includes the following:TAX PLANNING We carry out the following:
● We examine the budget proposal for the year and advise on its tax implication and make necessary recommendations.
● We also examine the management accounts and give advice on its tax implications and necessary recommendations.
● We advise on the tax implication of all its major financial transactions that come to our notice.
TAX COMPLIANCE It involves the following:
● Preparing Annual Tax Returns every year and submitting the returns to the Federal Inland Revenue Service.
● Preparing Tax and Capital Allowances Computations based on the operating results for every tax year.
● Applying and obtaining Tax Clearance Certificate for each year.
● Attending interviews with officials of Federal Inland Revenue Service on Tax matters.
● Attending to the Tax queries raised by the Federal Inland Revenue Service based on the Income Tax Annual Returns filed.
● Rendering other Advisory Management Services on any matter relating to the Corporate Taxation.
● We also examine and advise on the tax implications of every item in the audited accounts before the Board of Directors approves the accounts.
TAX AUDIT BY FEDERAL INLAND REVENUE SERVICE
In order to safeguard the interest of our clients we approach tax audit as follows:
Pre-
At this stage we embark on a comprehensive review of company’s records in preparation for the audit. Problem areas will be identified and adequately planned for. The documents requested by the Tax Inspectors will be collated and made ready for the audit.
Field audit Management
We will physically present the records to the Tax Inspectors. All questions and queries raised on the record will be attended to by us and the file will be monitored at the inspector’s office.
Post audit Management
At this stage, we will review the report of the Tax Inspectors and file an objection letter on the areas of disagreement. We will also attend tax reconciliatory meetings and agree our tax position with them.
ASSET MANAGEMENT AND TAX ACCEPTANCE CERTIFICATE ON QUALIFYING ASSETS
The Industrial Inspectorate Act 1970 provides that every establishment which intends to acquire in a year of assessment Fixed Assets worth N500,000 or more must file a notification of its intention with the Industrial Inspectorate Division of the Federal Ministry of Industry. On the acquisition of the Fixed Assets, a Tax Acceptance Certificate must be obtained; failing which the capital allowances claimed on the assets may be rejected by the Federal Inland Revenue Service.For effective tax planning and management, taxpayers will be expected to manage its assets portfolio in such a way as to enable it maximize the capital allowances benefit on these assets.We have a good working relationship with both the officials of the Federal Inland Revenue Service and the Industrial Inspectorate Division of the Federal Ministry of Industry.
We undertake the following services:
● Filing intention to incur qualifying capital expenditure with the Industrial Inspectorate Division of Federal ministry of Industry
● Compiling the detailed schedule of the Fixed and leased Assets
● Filling the relevant returns with the Inspectorate Division of the Federal Ministry of Industry.
● Carrying out the documentation of the assets on year by year basis with the officials of the industrial Inspectorate Division
● Carrying out the physical inspection of the assets in their various locations with officials of the Industrial Inspectorate Division of the Federal ministry of Industry
● Obtaining Tax acceptance Certificate on the assets of the company on yearly basis.
WITHHOLDING TAX MANAGEMENT SERVICES
The services include:
● Advising on the incomes that are subject to withholding tax and their rates
● Attending to tax queries raised by Federal and State tax authorities
● Reconciling the amounts deducted on each transaction or service that has been subjected to withholding tax with the amount paid to the tax office
● Monitoring the withholding tax audit to be conducted by Federal and State Tax Authorities
● Advising on the laws relating to withholding tax in Nigeria.
● Enlightenment talk on withholding tax.
VALUE ADDED TAX MANAGEMENT SERVICES
This will involve:
● Advising on transactions on which VAT can be charged
● Advising on the preparation of relevant documents for the monthly VAT returns
● Advising on all matters relating to VAT as it may affect any aspect of its operation
● Attending interviews with officials of the Federal Inland Revenue Service on behalf of the company on VAT matters
● Attending to tax queries raised by the Local VAT offices of the Federal Inland Revenue Service based on the VAT returns
filed
● Assisting in defending the VAT returns filed on the occasion of VAT monitoring exercises and audits by VAT inspectors.
We undertake the following:
● Preparation of the monthly payroll. The payroll will show various component of the staff emolument such as basic, housing,
transport, etc.
● The preparation of the monthly payroll reports, pay slip etc.
● Preparing monthly report on the loan and other personal accounts of the staff.
● Preparing schedule of monthly statutory deductions such as PAYE, NSITF, ITF, NHF etc.
● Preparing quarterly payroll report for the management.
Under this service, we undertake a comprehensive review of the compliance with the following legislation's:
1. Companies Income Tax Act 1990
2. Withholding Tax Regulations
3. Value Added Tax Act
4. Personal Income Tax Act (PAYE)
5. Capital Gain Tax Act
6. Nigeria Social Insurance Trust Fund (NSITF) Act 1993
7. National Housing Fund (NHF) Act of 1992
8. Industrial Training Fund Act
Specifically, the following amongst others will be highlighted in our report:
● The level of compliance with the various tax laws
● The adequacy or otherwise of existing documentation for tax purposes
● Potential liabilities on various taxes
● Likely problem areas during tax audit by tax authorities
● Recommendations for improvement.
In order to ensure that our customers’ needs are best served, we provide a wide range of Tax Consulting Services. This range includes the business areas listed below.
PERSONAL INCOME TAX MANAGEMENT (Routine & Planning Services)
TAX EFFICIENT COMPENSATION PACKAGE
PAYE TAX AUDIT MANAGEMENT SERVICES
CORPORATE TAX MANAGEMENT (Routine & Planning Services)
ASSETS MANAGEMENT AND TAX ACCEPTANCE CERTIFICATE (TAC)
WITHHOLDING TAX MANAGEMENT (WHT)
VALUE ADDED TAX MANAGEMENT (VAT)
TAX CONSULTING
TAX OPINION ON TECHNICAL MATTERS ON REQUEST
STATUTORY AUDIT AND INVESTIGATION
MANAGEMENT CONSULTING
SECRETARIAL SERVICES AND ALLIED MATTERS
