BEVERLY HILLS, March 09, (THEWILL) – Despite the directive by the Senate for it to halt action, the Nigeria Customs Service, NCS, says it will go ahead with the implementation of duties on vehicles smuggled into the country from 2015.
It however stated that it would grant 60 per cent rebate on the Duty Paid Value, DPV, on vehicles bought before and in 2015, even as it increased the number of payment points to enable auto dealers and private car owners pay duties on the vehicles.
The Senate had on Tuesday passed a resolution directing the Nigeria Customs Service, NCS, to halt its plan to penalise Nigerians who do not pay duties on their vehicles within one month, while asking the Comptroller-General of Customs, Col. Hammed Ali (retd), to appear before its Committee on Customs.
Reacting in a statement signed by its Acting Public Relations Officer, Joseph Attah, the NCS said: “In response to public complains and suggestions, the Comptroller-General of Customs, Col. Hameed Ibrahim Ali (retd) has approved the adjustment of points of payment and 60% rebate across board from 2015 downward to ease the process and encourage all motor dealers in position of un-customed vehicles to come forward and pay duty.”
Attah, who also addressed a press conference at the NCS headquarters in Abuja on Wednesday, said the grace period began on Monday and would last till Wednesday, April 12, 2017 for vehicle owners and dealers to pay at the nearest Customs Area Commands, except for Lagos and Port Harcourt.
“Visit any Customs command near you and verify your papers and know if the right duty was paid. Ignorance is no excuse. There is a one-month grace period for now, with 60 per cent rebate,” he said.
The Customs spokesman continued: “Soon, owners of smuggled vehicles without duty will no longer be able to register them or renew their vehicle papers.”
Reacting specifically to the Senate directive, Attah said the Customs would provide adequate information to explain the objective to the National Assembly.
He said: “Senators are respected representatives of the people. When we visit them, we shall discuss and I’m confident that with the gains in this action, they’ll see reasons.”
According to him, the need to compel all vehicle owners to pay duty was to boost revenue and enhance national security through the Vehicles Identification Number, VIN, project.
Attah said the Federal Inland Revenue Service, FIRS, Federal Road Safety Commission, FRSC, Vehicle Inspection Officers, VIO, and Nigeria Police Force, NPF, were partners in the project.
“The benefit of this collaboration is that those who do not pay duty on their vehicles will not be able to obtain and register them in Nigeria. We believe that when all vehicles are properly registered and owners’ identities tied to them, national security will be enhanced,” he said.
On the rebate, Customs explained that payment for 2015 vehicles and below, directly imported and third party type (Nigerian used), is based on 35 per cent of the actual value as duty from which the owners would be mandated to now pay 40 per cent.
Also at the briefing, the National President of Association of Motor Dealers of Nigeria, AMDON, Prince Ajibola Adedoyin, said they supported Customs on the directive, as they had meetings before it was issued.
AMDON said it would soon activate an online platform where customers can verify vehicles with genuine duty payment.
On the one-month grace, Adedoyin said as it continues, the association will call for further review or extension of the grace period when the need arises.
He said Customs management may extend the deadline, depending on compliance.
Adedoyin disclosed that his group was developing a platform through which customers could ascertain the genuineness of their vehicles Customs papers.
“When you buy a car from us, something will be issued to you to avoid buying vehicles without duty. We’ve a listening CGC, as we continue with Customs on the new policy; if there’s need to extend the one month window, we will. It’s agonising to buy a vehicle without duty and have it seized,” he said.
