The Nigeria Customs Service budget for the fiscal year 2022 was approved by the Senate on Wednesday, totaling N369.04 billion.
This came after it set a revenue target for the Service of over three trillion dollars for 2022.
Following the Committee on Customs, Excise, and Tariffs' review of a report, the budget was approved.
Senator Francis Alimikhena, who chairs the committee, presented the report (Edo North).
In his presentation, Alimikhena stated that of the total N369.04 billion (NGN) approved for the NCS in 2022, N108.85 billion is for Personnel Costs, N45.89 billion is for Overhead Costs, and N214.30 billion is for Capital Costs.
He highlighted the NCS budget by stating that in 2022, the service will deploy the E-Customs project, which would automate Customs agency licences and VIN numbers.
By implementing the 2021 Finance Act, he stated that the NCS, in collaboration with relevant government agencies, would seek to increase internally generated revenue.
The excise charge of 6% on telecommunication services and N10 per litre on carbonated beverages, according to the legislator, is expected to go into effect in the fiscal year 2022.
Import Duty of N1,693,157,559,312.00, Excise Duty of N161,695,617,629.00, and Fees and Penalties of N3,717,140,635.00 are projected to be paid into the Federation Account out of the N3.019 trillion revenue target.
Levies accruing to the Federation Account include CET Levy – N70,178,545,176.00; Wheat Flour levy – N837,418,335.00; Wheat Grain levy – N87,450,026,612.00; 100% Rice levy N15,070,518.00; and 100% Cigarette levy – N1,888,165,554.00.
Revenue accruing to the Non-Federation Account are 7% Surcharge – N76,175,498,801.00; 5% Sugar levy N12,919,481,337.00; 1% CISS – N100,202,094,260.00; 0.5% ETLS – N52,411,346,601.00; 10% Iron/Steel levy – N1,038,736,773.00; Cement levy – N1,108,340,373.00; NESS – N2,797,028,658.00; 35% Automotive levy – N6,576,520,172.00; and Import VAT – N746,964,607,563.00.